GJ has been a focal point of my weeks trading, although its been very counter trend and choppy its still had some really good trading opportunities inside the bearish channel on the h4 (not on this photo). Now price has broke out of the bearish h4 channel and is looking as if its going to break north. Price is currently in a bearish D1 channel but if the momentum...
GJ - H4 time frame. Trend is bullish on weekly time frame so I'm trading a bullish pullback on smaller time frames. Bank of England is also expected to hike rates in November so fundamentally and technically GBP pairs are looking very bullish.
There is a channel forming and while at the base the Stochastic indicator is in oversold territory. the label 'Potential Trade' show a 4 to 1 trade at these levels, but we will wait until we get the stochastic turning up to get a confirmed entry signal. Then we will set up the stop loss and take profit levels. The main stop loss will probably be at the orange...
My bias is to the short side with this trade. There's news coming up soon so you might want to wait for that before place a trade if your a conservative trader. if your a risky trader like me, you might want to place the trade anytime from this moment.
Reason for trade: As shown on the chart every time price has reached that area of support or resistance price...
Due to the strength of the signal, I decided to trade this one through the closest support and onto the next one down. Pull back happened and order filled. Now, it's either a 1X loss or a 2X win. Simple.
Expecting GBPJPY to fall over the next week or so. Could possibly see it reach 150.00 first which is a previous area of resistance. Should we get triggered in I would hope to see this reach around the 147.000 level long term
Potential Bearish Bat Pattern Forming
Entry @ D-Completion (149.566)
Target 1 @ .382 (148.564)
Target 2 @ .618 (147.945)
Stop Loss @ 1.13 (150.289)
Please make sure the rules for entry match your trade plan