Here I have GBP/JPY on the 1Hr Chart in what looks to be a Pennant Pattern!!
We've had 2 tests of the Falling Resistance and 2 tests of the Rising Support! There is still room for price to play in the "Pinch Point".
As of now I have a Bullish Bias on this idea because price was in a Uptrend prior to entering this pattern! Along with GBP showing strength across the board!
-BUT-
GBP is heavy with news this week so if news is bad, there is potential for a Bearish Break!
Fundamentally:
GBP -> Claimant Count Chance (Tue), CPI (Wed) and Retail Sales (Fri)
JPY -> "Clear News Week"
**Chart Patterns are known to fail 1/3 of the time so BEWARE OF FALSE BREAKS!!
We've had 2 tests of the Falling Resistance and 2 tests of the Rising Support! There is still room for price to play in the "Pinch Point".
As of now I have a Bullish Bias on this idea because price was in a Uptrend prior to entering this pattern! Along with GBP showing strength across the board!
-BUT-
GBP is heavy with news this week so if news is bad, there is potential for a Bearish Break!
Fundamentally:
GBP -> Claimant Count Chance (Tue), CPI (Wed) and Retail Sales (Fri)
JPY -> "Clear News Week"
**Chart Patterns are known to fail 1/3 of the time so BEWARE OF FALSE BREAKS!!
