Charles Clifton
Junior member
- Messages
- 14
- Likes
- 0
I traded GBPJPY almost every day last week as it featured on my strength vs weakness tables (something I've built to tell me what's moving in the FX space).
I was aiming to trade support at 174.50 and 175.00. I got it about right and price rallied over 700+ pips to the highs of 182.00.
My thinking was and is that, fundamentally, BoE Gov Bailey stated that interest rates could reach as high as 5.75%. Rates currently stand at 4.50% and the market bought into the comments and is now pricing in significant rate rises from the BoE.
My weekly chart shows price is trading above previous resistance which was formed by the lows on 13th September 2015 at 180.75. This level could act as support for getting long in this market again.
The next level of resistance on my weekly chart is up at 188.00, which was a right shoulder of a head and shoulders pattern.
I'm thinking if this sentiment continues we could see GBPJPY trade another 700-800 pips higher.
On my hourly chart price formed a high at 180.75 resistance, this week this could be used as support/entry as it holds confluence with a 50 moving average and a trend line.
We'll see.
I was aiming to trade support at 174.50 and 175.00. I got it about right and price rallied over 700+ pips to the highs of 182.00.
My thinking was and is that, fundamentally, BoE Gov Bailey stated that interest rates could reach as high as 5.75%. Rates currently stand at 4.50% and the market bought into the comments and is now pricing in significant rate rises from the BoE.
My weekly chart shows price is trading above previous resistance which was formed by the lows on 13th September 2015 at 180.75. This level could act as support for getting long in this market again.
The next level of resistance on my weekly chart is up at 188.00, which was a right shoulder of a head and shoulders pattern.
I'm thinking if this sentiment continues we could see GBPJPY trade another 700-800 pips higher.
On my hourly chart price formed a high at 180.75 resistance, this week this could be used as support/entry as it holds confluence with a 50 moving average and a trend line.
We'll see.
