GBP/JPY - Hagopian signal triggered for a rally above 153.41
GBP/JPY just triggered a Hagopian signal, which calls for a rally to above 153.41.
I'm sure you are thinking, what is a "Hagopian" signal? A Hagopian signal is triggered, when price doesn't trade to the pitchfork mid-line as it should do 80% of the time according to Dr. Andrew's. This failure is a warning that the decline (in this case) is weak and a opposite price reaction is developing and it will take price above the latest top, which in this case is seen at 153.41.
The trigger for the Hagopian signal, in this case, is when the pitchfork resistance-line is broken, with confirmation, when the resistance at 151.76 is taken out too.
How to trade this Hagopian signal? Buying GBP ag. JPY with the break above 151.76 and placing stop just below support at 151.16 say at 151.05 should be a low risk potentially high reward trade.
The first target to look for is the 153.41 high and above here, will call for a rally to 155.40 as the next minor upside target.
If you want to know more about the Hagopian signal, you can read about it here: http://technical.traders.com/tradersonline/display.asp?art=5154
I'm sure you are thinking, what is a "Hagopian" signal? A Hagopian signal is triggered, when price doesn't trade to the pitchfork mid-line as it should do 80% of the time according to Dr. Andrew's. This failure is a warning that the decline (in this case) is weak and a opposite price reaction is developing and it will take price above the latest top, which in this case is seen at 153.41.
The trigger for the Hagopian signal, in this case, is when the pitchfork resistance-line is broken, with confirmation, when the resistance at 151.76 is taken out too.
How to trade this Hagopian signal? Buying GBP ag. JPY with the break above 151.76 and placing stop just below support at 151.16 say at 151.05 should be a low risk potentially high reward trade.
The first target to look for is the 153.41 high and above here, will call for a rally to 155.40 as the next minor upside target.
If you want to know more about the Hagopian signal, you can read about it here: http://technical.traders.com/tradersonline/display.asp?art=5154