GBPJPY has been trading sideways for a while and seems to be in a correction from the big falls it has had. When price ranges like this it is common for us to see a strong burst move after it and it is also common to see false breakouts on either side of the range.
These tendencies make this bullish butterfly pattern possibly setting up interesting. If there are buying opportunities in around 133 stops do not have to be any further away than 130. The move upwards has the potential to be equal to the last corrective leg, which was 2,500 pips. The most promising thing about this is the tendency towards strong moves after ranges and whipsaw breakouts coupled with the GBPJPY being one of the most aggressively trending pairs, making it possible to catch many pips in a short time.
These tendencies make this bullish butterfly pattern possibly setting up interesting. If there are buying opportunities in around 133 stops do not have to be any further away than 130. The move upwards has the potential to be equal to the last corrective leg, which was 2,500 pips. The most promising thing about this is the tendency towards strong moves after ranges and whipsaw breakouts coupled with the GBPJPY being one of the most aggressively trending pairs, making it possible to catch many pips in a short time.