gbp/jpy analysis

fibo777

Master Trader
Jul 16, 2010
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67
Lithuania
A thread about my favourite pair. Three days low was finally taken after CPI data. Went in with two sell orders at 133.80. One closed at an even number 133.10 and another at another even number 132.10. Fridays usually provide us with some nice moves, connected with fundamental news releases. We will see what happens on monday. I do not like this ugly range that gbp/jpy has recently been, but we still have some nice opportunities later. Good luck everyone.
 

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Enivid

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Nov 30, 2008
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I usually follow GBP/JPY on D1 timeframe and it's still inside the range there. Hope to see some action when it finally breaks out. Judging from the current state of affairs I expect it to go bearish.
 

fibo777

Master Trader
Jul 16, 2010
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67
Lithuania
gbp/jpy monday reversal trade

gbp/jpy established two points of resistance at around 132.80 level during friday's american session and confirmed it during early european session. When the price passed the level later I went long. Exited with minor profit at 133.17 when price failed to reached higher high and went below lower low.
 

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fibo777

Master Trader
Jul 16, 2010
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67
Lithuania
I am looking at 132.67 level to see how the price behaves at the level. It touched the level once. I am looking for the level to be visited again. If it goes there and jumps off the level, I would place a sell stop below it. (Breakout trade) If it forms 123 pattern there, I would go long above the nearest highest high that will be established.(Reversal trade)
 

fibo777

Master Trader
Jul 16, 2010
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67
Lithuania
I am looking at 132.67 level to see how the price behaves at the level. It touched the level once. I am looking for the level to be visited again. If it goes there and jumps off the level, I would place a sell stop below it. (Breakout trade) If it forms 123 pattern there, I would go long above the nearest highest high that will be established.(Reversal trade)

The pair went past that level, then bounced off 132.48, retraced to 132.68 (support became resistance). Went short below 132.48, stop at 132.75. Exited at an even number 132.00
Just some thoughts in retrospective...
 

Enivid

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The funny thing is that it's till trading inside the range. A long position can now be recommended as it's currently bouncing off the lower limit and will probably reach the upper limit of the range.
 

fibo777

Master Trader
Jul 16, 2010
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The funny thing is that it's till trading inside the range. A long position can now be recommended as it's currently bouncing off the lower limit and will probably reach the upper limit of the range.
The only opportunity that I saw today in gbp/jpy was in early european session when the pair hit 132.86, formed 123 and go long above that high on 15 minute chart. 40 pips of meat. Although looking at 8 hour and daily chart the picture is very bearish. I smell a breakout down sooner rather than later. Yes, I agree, it has been in a range for two months.
 

fibo777

Master Trader
Jul 16, 2010
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After news from Great Britain gbp/jpy went nicely from 133.50 till 133.90 where I closed my first position which was opened when news hit the market and then moved my second position by placing my stop below higher lows, till my stop was hit at 134.25 Nice ride. Monday might see a reversal. Not going to trade Sunday opening. Lots of crazy things happen then.
 

Enivid

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As mondays are usually reversal days I expect reversal today. I entered short in gbp/jpy at 134.98. Two points of resistance were broken. Some sort of breakout trade.
Do you mean pullback trade? Going short at the top of the channel is a pullback trade as you expect a price to go back down to the lower border of the channel.
 

fibo777

Master Trader
Jul 16, 2010
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Lithuania
Exited that one at 135.50. Looks like breakout is real. Buying on dips. Not opened any trades yet. Most probably I will have to buy when the highest high is taken out.
The price is retracing. Had minor 20 pips loss. Support is still valid at 136.00 -136.40 which was the high of the ugly range we have been in. We have to wait and see if this level holds. It will be clearer tomorrow. I will see if there is opportunity to go long or short in the early european session. No orders for now.
 

fibo777

Master Trader
Jul 16, 2010
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Lithuania
Looks like 136.00 level was not really broken. I would buy 136.30 and sell 135.85 (in case break out wasn't real). Buy order has just been opened.
False break up, but as I placed my stop at breakeven, so did not have any loss. Reversed and went till former resistance 135.55. Not much meat, but... I will watch carefully 134.40 level as it has some history and see if support holds there. Back into range. But… fridays are breakout days. Let’s see what happens tomorrow.
 

fibo777

Master Trader
Jul 16, 2010
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Fridays are not too good for pure technical trading. I am going to concentrate on news today, especially US GDP. News trading should be the best choice today. If gbp/jpy retraced from present level and then again went up, I would go with a tiny long up.