GBPJPY has been uptrending since the 2nd of March 2018 after it tapped the 145.000 Support level. It has risen back to the 151.500 Resistance level, which falls almost perfectly with a 0.618 retracement on the Fibonacci levels. There is also a flag pattern evident and I am soon expecting a fall and break of this flag pattern back to the downside.
Reasons for this short trade:
Bullish momentum becoming exhausted and tapping the 0.618 retracement expecting a bounce back to the downside.
Tapped the 151.500 resistance barrier & expecting pullback to the 150.00 and then further down to 147.900.
4 Hour chart shows a gravestone candlestick which is bullish momentum being squashed as it tries to push higher, rejected by bears.
This could be a good risk/reward trade if stops are placed on 152.500 and TP is set around 147.900.
Reasons for this short trade:
Bullish momentum becoming exhausted and tapping the 0.618 retracement expecting a bounce back to the downside.
Tapped the 151.500 resistance barrier & expecting pullback to the 150.00 and then further down to 147.900.
4 Hour chart shows a gravestone candlestick which is bullish momentum being squashed as it tries to push higher, rejected by bears.
This could be a good risk/reward trade if stops are placed on 152.500 and TP is set around 147.900.