From the weekly and daily perspective, price is sitting around the resistance area and expect is going to the downside (Demand Zone) to grab some liquidity before it going to the upside.
From the COT perspective, hedge funds are bearish bias on the GBP, more short opened than the long they had opened. And during the economic crisis, we are having right now, all the money should flow into the JPY, since JPY is a safe haven currency, so a further downside for GJ is expected.
The proper way to approaching this pair is to waiting for the market shift to the bearish environment on the 4H perspective because the current environment is still bullish. If the price managed to do it, I will wait for the market to provide me with one of my rules then I will take a nice short on GJ with a good RR. Shorting at the current price is not a smart way, because the price may be easily push to the upside.
Always reactive to the market instead of predictive it, this analysis is based on technical and COT perspective.
Comment below and let me know your thought on GJ.
From the COT perspective, hedge funds are bearish bias on the GBP, more short opened than the long they had opened. And during the economic crisis, we are having right now, all the money should flow into the JPY, since JPY is a safe haven currency, so a further downside for GJ is expected.
The proper way to approaching this pair is to waiting for the market shift to the bearish environment on the 4H perspective because the current environment is still bullish. If the price managed to do it, I will wait for the market to provide me with one of my rules then I will take a nice short on GJ with a good RR. Shorting at the current price is not a smart way, because the price may be easily push to the upside.
Always reactive to the market instead of predictive it, this analysis is based on technical and COT perspective.
Comment below and let me know your thought on GJ.