Price has slowly been trading lower this entire month, unable to break out higher. We have also continued to see yen strength, with recent pound weakness. Thus I will look for shorting opportunities on this pair.

GBP/JPY Daily chart

Price has opened the month below MPP, allowing for the potential of reaching MM1 to MS2. Price has been trading below the black downside trendline, and has allowed the 21 and 55 moving averages to begin to develop more angle and separation to the downside. Thus momentum is mostly bearish currently.

GBP/JPY H4 chart

Price has been trending to the downside on this this time frame, shown by thin black line. Price opened the weak just above WPP and has been pushed to the WS1, creating a new lower low at 137.50. price is at current resistance of 138.50, which may be viewed as a lower high and is where I will look for entry on a lower time frame.

GBP/JPYH1 chart

Price is currently at DR1, a bearish entry zone, which is also role reversal support turned resistance, 138.50 psyche number, and is the 61.8 retracement level of the downside fib shown on my chart. We also have an overbought H1 stochastic. Thus I will be looking for a lower high on the lower frames for entry.

One thought on “GBP/JPY daily short, 30th march”

  1. Ken Moulton says:

    Good analysis. Break of the upward trendline short! I am also short. Good eyes.

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.