GBPJPY has been uptrending since the 2nd of March 2018 after it tapped the 145.000 Support level . It has risen back to the 151.500 Resistance level , which falls almost perfectly with a 0.618 retracement on the Fibonacci levels. There is also a flag pattern evident and I am soon expecting a fall and break of this flag pattern back to the downside.
Reasons for this short trade:
Bullish momentum becoming exhausted and tapping the 0.618 retracement expecting a bounce back to the downside.
Tapped the 151.500 resistance barrier & expecting pullback to the 150.00 and then further down to 147.900.
4 Hour chart shows a gravestone candlestick which is bullish momentum being squashed as it tries to push higher, rejected by bears.
This could be a good risk/reward trade if stops are placed on 152.500 and TP is set around 147.900.
Reasons for this short trade:
Bullish momentum becoming exhausted and tapping the 0.618 retracement expecting a bounce back to the downside.
Tapped the 151.500 resistance barrier & expecting pullback to the 150.00 and then further down to 147.900.
4 Hour chart shows a gravestone candlestick which is bullish momentum being squashed as it tries to push higher, rejected by bears.
This could be a good risk/reward trade if stops are placed on 152.500 and TP is set around 147.900.