Description
⋅ Anticipating an upward move on GBP/JPY towards R2 at 154 mark over next fortnight.
Pivot and fib retracements aligning around 146.857 mark, with upward trending 50EMA likely to provide further resistance.
Will look for a test and rejection at this level then enter a long position with a stop loss below the 618 retracement and EMA.
Do however need to look at the bearish RSI, but this alone wont prevent a trading opportunity for me.
Comment
⋅ M60 and M30 have both clearly tested and rejected the 236 fib.
However both are downtrending again.
Looking for a retest with possible double bottom before executing a long position.
Trade active
⋅ OK so I've entered this trade now. Short time frames (M5 and M15) have both had a double bottom so I am using this as my entry point for reversal.
Only looking to target previous high at this point at 149.114 and stop loss below the pivot.
I may end up trailing this stop and increasing the TP level if the trade is particularly bullish.
Comment
⋅ Textbook trade this one so far. Rebounded exactly as expected and looking for further upside towards the previous high.