Price Action (Technical Analysis): Bearish momentum is increasing at our annual support, weekly time frame: we anticipate seller pressure to continue to potential target as we speculate price action. Market needs to settle before we can enter short on the Pound/Yen, Daily time frame: we have price pullback at previous level of structure. Last time price broke below and tested key swap level, trend continued to targeted exits. We do not enter until we have a clear, settled market with either a Mark Up indication or Continuation in Distribution.
Fundamental Analysis: 27% Bearish Sentiment Outlook, Latest Brexit update for the Pound is starting to reflect. We understand that the BOE is anticipating a more dovish policy, leaning us towards a downward continuation, complimenting our technical factors.