Hello fellow traders,
I have spotted a promising long opportunity on GBP/JPY that I'd like to share with you. The pair is about to hit the 0.5 Fibonacci level at 168.850, which is calculated from the previous leg up. Additionally, there is a 4-hour fair value gap between the 0.5 and 0.618 Fibonacci levels. We have two profit targets in mind: the 1.618 Fibonacci level at 174.500 and the potential run-up to the previous long-term high resistance around 184.000.
Chart analysis:
GBP/JPY is approaching the 0.5 Fibonacci level at 168.850, calculated from the previous leg up.
The pair is approaching a 4-hour fair value gap between the 0.5 and 0.618 Fibonacci levels, suggesting that the market could potentially fill this gap.
The overall trend has been bullish, with the pair consistently making higher highs and higher lows. A bounce off the 0.5 Fib level would be in line with this pattern.
Trade idea:
Entry: Long position at the 0.5 Fibonacci level (168.850)
Stop loss: Just below the 0.618 Fibonacci level and daily support level (please check the chart for the exact level)
Take profit:
First target at the 1.618 Fibonacci level (174.500)
Second target at the previous long-term high resistance (around 184.000)
Please note that this analysis is purely based on technical factors. Always consider the impact of macroeconomic events, news releases, and other fundamental factors before entering a trade. Furthermore, keep in mind that past performance does not guarantee future results. Trade responsibly and manage your risk accordingly.
Happy trading!
Comment:
Hit 0.618 Fib level last friday and is now going up. Still in trade
Comment:
Taking longer than anticipated, but still in trade with 1/3 of my original investment
Comment:
Closing my trade now as im leaving for vactation and don't want to sit in any open trades. Still expecting target to be hit tough :)