GBPJPY has formed a bearish bat pattern during last days,now the price is located inside a Potenzial Reversal Zone between two resistances (the blue horizontal lines) and the Stochastic has produced a bearish divergence. A sell could be the best option in this kind of situation, there are good chances for a drop towards 138.5 near the 100 day moving average. Pay attention to the larger timeframe in order to place your stop loss above 144.65, weekly resistance , I will post the weekly chart later. Use a risk reward at least equals at 3.00 and do not risk more than 2% of your capital. Enjoy your trading !!
everything is ready, I just dunno why this pair plays hard to get!!
Dragon_Investments
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@Bruja, we have to wait for a decise bearish move, The pound has been so strong recently because of speculations about low chances to implement negative rates and a positive vaccination campaign in the country. anyway the jpy is going to be stronger, Cot report shows high interest in buying this currency and market mood will easily turno from risk-on to risk off.
The only poroblem is the placement of the stop loss which is not easy because GBPJPY usually creates false breakouts.