I am looking for a high tomorrow in GBP/JPY in the late afternoon GMT. To me my charts are showing this pair to be range trading for the moment. Will JPY become weaker? I am still bias for this to happen even though I don't know to what degree. Price action should go higher from 154 for this weaker bias to become evident.
Plan is to buy and look to TP after 154 or when PA becomes exhausted before tomorrow night... IF PA goes bearish then I will look to close out positions BUT bias is bullish until then.
June 6th 2013:
Well price high did not break 154 so I closed all my positions in profit then PA fell steeply. Glad I was out by that time.
Bias is now null until I see what tomorrow or beginning of next week brings me...
Good morning, I am still on vacation until July so I will not have detail analysis on GBP/JPY until I get back to the office.
Today I am looking at the larger trend with this currency pair. On the daily HA line price movement is below the line giving the pair a bear bias. A major support line is around the 148 area and if price respects that then a new bull run could commence in the future.
For now I would be careful with my trades as the market is not really moving and is in a slight counter trend. Range trading is in play unless 148 breaks decisively where I would be bearish on the pair with my trades.
I am not trading today. Looking at the picture of CSS I can see that there is some risk-adverse positioning happening on the market. I just looked at VIX and it is near the high for this year. I wonder what event or events might be on the horizon for investors to be finicky?
Looking at the chart for GBP/JPY there is a sell setup forming in the short term. I have set pending sell limits at 149.20 and 149.80 areas for today.
Last night I took a quick counter-trend trade which I closed for 66 pips profit. I did this as price felt heavily oversold and 4 hour CSS was showing JPY weakening.
Today was a day for range trading on a shorter time-frame. I open up several sell positions to take home over 130 pips even though price movement was super low. Account up almost 5%.
GBP/JPY bias on daily is bearish but so far the reversal has been shallow and has price movement riding on the daily trendline.
10.4 shows a sell setup with RSI pinned and 4 hour CSS golden but I am hesitate to take it unless price is 149.80-90 area. I feel that price could go to 151.50-152 over the next few days so I will be fairly cautious in opening any market positions...
Today in spite of the setup I remain indecisive so will wait until I see something better...
