Fundamental Summary

GBP
– Pound at highest level since the beginning of Feb 2016
– Brexit continues to drive this currency
– Currently polls show 50% stay vs. 42% leave
– Continued upside to be seen should polls continue to show remain camp outweighing leave camp
– Weaker than expected services PMI resulted in USD weakness which helped the pair move higher
– Keep an eye on Fed watch tool currently showing a 32% chance of rate hike in June
– Preliminary GDP being released just before London market opens

JPY
– Japan are eyeing a decrease in exports due to strong Yen
– Exports down for seventh consecutive month in April hampering efforts for economic growth
– Overseas shipments down 10.1% in April YoY
– America closely watching Japan for unfair foreign exchange policies that provide a trade advantage over        America
– Data out of Japan during Asian session:
  – Foreign bond investment: 
¥684.0B previous¥1,122.7B (revised from ¥1,121.8B)
  – Foreign investment in Japan stocks ¥40.4B previous ¥72.5B (revised from ¥71.7B)
  
– Corporate service price (YoY) 0.2% inline with consensus and previous reading

Technical Summary

GBPUSD
– Targets have been marked with a cross
– Support areas have been marked with green and an arrow showing up – if you are a bull you could look to buy here
– Resistance areas have been marked in pink with an arrow pointing down – if you are a bear you could look to sell here
– Keep in mind that when price passes through a resistance area that area could act as support in the future. This would include role reversal price action, pivot points and psych levels. The same applies with support.
– Also keep an eye on dynamic support and resistance in the form of the moving averages. The 21 is above the 55 and price is above both on daily, H4 and H1.

USDJPY
– Targets have been marked with a cross
– Support areas have been marked with green and an arrow showing up – if you are a bull you could look to buy here
– Resistance areas have been marked in pink with an arrow pointing down – if you are a bear you could look to sell here
– Keep in mind that when price passes through a resistance area that area could act as support in the future. This would include role reversal price action, pivot points and psych levels. The same applies with support.
– While price may move up at the current level on H1 I would not buy now due to WPP being just ahead – here I would wait for price to break above WPP and then come back and confirm WPP as support
GBPJPY
– Targets have been marked with a cross
– Support areas have been marked with green and an arrow showing up – if you are a bull you could look to buy here
– Resistance areas have been marked in pink with an arrow pointing down – if you are a bear you could look to sell here
– Keep in mind that when price passes through a resistance area that area could act as support in the future. This would include role reversal price action, pivot points and psych levels. The same applies with support.
– While price may move up at the current level on H1 I would not buy now due to WPP being just ahead – here I would wait for price to break above WPP and then come back and confirm WPP as support

2 thoughts on “Pig Dog, Gopher and Beast”

  1. Wayne McDonell - TradersWay.com says:

    Excellent post. Thank you.

    1. Ryan van Jaarsveld says:

      It is an honor to be part of the team! Thank you for the awesome opportunity and all your guidance, coaching and time!!

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