Forex Marketz Daily Forex News – Fully Markets Update
GBP/JPY (181.918)
Some points to consider:
- The Sterling continues to move lower. Now at its lowest price point in over 4 months.
- No trade opportunity on risk to reward analysis
- Trade Strategy: Stand Aside
The GBP/JPY Forex market is once again pushing lower, as the Sterling has hit its lowest price point in over 4 months. Right now price action is just short of confirming a new long term reversal of a multiyear GBP/JPY bullish pattern in play since June of 2012. We are still watching the charts carefully to see if this breaks. If it breaks, then we have a new bearish phase in this Forex market. Please refer to the below GBP/JPY daily MT 4 chart for today’s technical analysis.
Technical Analysis
Let’s look at today’s GBP/JPY daily technical analysis. There is technical support at 179.79/80. A daily close below this technical support will challenge the next technical support lining up at 178.30. The alternative GBP/JPY technical analysis, should the Sterling recover, thus supporting this Forex market notes a former support now resistance level lining up at 181.68. A break above this technical level challenges the next technical resistance at 182.82.
Trade Strategy
Now let’s look at today’s GBP/JPY trade strategy. Technical analysis notes that the distance between support and resistance is rather short. Definitely below the 20 day average trade range (ATR). That makes taking either a long or short GBP trade, from a risk to reward outlook, premature. Keeping this in mind, I will opt to stand aside and monitor my charts for a more opportune trade opportunity to come along. Right now there are no directional cues for me to take a trade in line with my style of trading. Today, I am flat in the GBP/JPY Forex market.
