Good morning traders! Today, we bring you our analysis and forecast in GBP / JPY; we saw quite aggressive behavior since these last days.
🔸Starting with the Daily Timeframe, we see that the price has been in a clear uptrend for months. We want to clarify that what we are seeing now is only a CORRECTION/RETRACEMENT, which is necessary to continue the rise in the future. We can identify this with the ascending channel and the increasing highs and lows generated by the price.
🔸The area that generated this bounce is the confluence zone between the upper trend line of the channel, and there is also a resistance area there, which can be better seen in the weekly chart:
🔸Although, as we said before, the trend is bullish, there is the possibility of looking for a bearish trade in the short term.
🔸For this, it is necessary to wait for a corrective structure or retest of the broken support zone and then wait for a strong rejection. Once this happens, we will proceed to take a bearish trade towards the next support zone.
🔸Starting with the Daily Timeframe, we see that the price has been in a clear uptrend for months. We want to clarify that what we are seeing now is only a CORRECTION/RETRACEMENT, which is necessary to continue the rise in the future. We can identify this with the ascending channel and the increasing highs and lows generated by the price.
🔸The area that generated this bounce is the confluence zone between the upper trend line of the channel, and there is also a resistance area there, which can be better seen in the weekly chart:
🔸Although, as we said before, the trend is bullish, there is the possibility of looking for a bearish trade in the short term.
🔸For this, it is necessary to wait for a corrective structure or retest of the broken support zone and then wait for a strong rejection. Once this happens, we will proceed to take a bearish trade towards the next support zone.