Since the middle of last week we have seen all GB P pairs selling off.
GBP/JPY was a gift of a week last week for traders as price repeatedly hit areas of resistance only for GBP/JPY BEARS to push the price south.
Every trading day last week the price of GBP/JPY hit the WR1 pivot and retreated and the WR1 and WS1 pivots are key to my trading as you can plot these at the start of week and plan for when/if the price hits.
In the last few hours we can see GBP is rising.
WS1 has been hit across several GBP pairs and its clear that there is some BULLISH momentum around.
Obviously, if GBP is rising then EUR/GBP will fall.
The price has just failed to reach WR1 and its not impossible EUR/GBP BULLS may try to take the price to this level but its also possible that EUR/GBP BEARS will jump on this pair and drive the price south.
RSI was as high as 88 a couple of candles ago but now is reading 73.
MACD on the lower timeframes is signalling SHORT and the Andean Oscillator sees the red SELL line reading over zero having been flat.
The path of least resistance is south and the BULLS have it all to do to push back into overbought to move the price higher.
STOP for this is a hard stop at .8650 (8 pips) and the target initially is .8583 which is WPP mid pivot though the I'll close the trade if there are signs of any BULLISH recovery.
GBP/JPY was a gift of a week last week for traders as price repeatedly hit areas of resistance only for GBP/JPY BEARS to push the price south.
Every trading day last week the price of GBP/JPY hit the WR1 pivot and retreated and the WR1 and WS1 pivots are key to my trading as you can plot these at the start of week and plan for when/if the price hits.
In the last few hours we can see GBP is rising.
WS1 has been hit across several GBP pairs and its clear that there is some BULLISH momentum around.
Obviously, if GBP is rising then EUR/GBP will fall.
The price has just failed to reach WR1 and its not impossible EUR/GBP BULLS may try to take the price to this level but its also possible that EUR/GBP BEARS will jump on this pair and drive the price south.
RSI was as high as 88 a couple of candles ago but now is reading 73.
MACD on the lower timeframes is signalling SHORT and the Andean Oscillator sees the red SELL line reading over zero having been flat.
The path of least resistance is south and the BULLS have it all to do to push back into overbought to move the price higher.
STOP for this is a hard stop at .8650 (8 pips) and the target initially is .8583 which is WPP mid pivot though the I'll close the trade if there are signs of any BULLISH recovery.
Trade closed manually:
All trades closed before French Flash Manufacturing and Servicing PMI (+23 pips)