GBPJPY has been going on with its upward march for the past few days with occasional break down to its support levels. As said in my article yesterday, GJ was good for longs today.
Attached is the 1H chart for GJ which shows the upward march. We can also see that the 1H bars which broke through the resistance at 144.5 were of low volume which indicated a break down to collect more buyers so that it can move up with force and with volume as well. The low volume also showed that not many buyers were interested in such high prices which means that lot of people felt that it has moved up too fast too soon.
So a healthy correction or retracement was required and thats what we finally got. GJ went down to its support and has since risen back again.
On the upside, it should face strong resistance at 144.8 and then it should move on to 145.3 and then to 146.88 where it should face some very stiff resistance.
On the down side , there is strong support at 143.75 and then at 142.2 though i do not think it would move down much below 143.75..
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Hi Karthik, Thank you for sharing your views to other traders. It provides a focus range to concentrate on that pair. However, I do have a question - I am kind of confused with the timing of your posts. I live in a PST timezone and you in India.. GMT + 5 and GMT - 7 timezones.. But the forex market is 24 hrs.. starts at Australia (GMT + 10) and ends in USA (GMT - 5). So when you say - 1)Daily outlook - your day view reflects Asia, Europe & US sessions, right ? 2) You generally post your views of that day just before the Asia session begins, right ? Execuse me for my ignorance. Thank you for your reply.
ReplyDeletehi, usually my first couple of posts on every trading day are at around 0200 hrs gmt....the other posts, i post them any time of the day depending on what is happening in the market...and my analysis are from the time i make the post, whatever time it might be...
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