GBP/JPY – 1H – BUYThe currency pair British Pound/Japanese Yen (GBP/JPY) goes from the bearish trendline downwards
A continuation of the bearish trend downwards to the next support level at 188.06700 is expected.
Caution: A possible trend reversal in the direction of the resistance zone at 189.34800 is within the realm of possibility.
In case of a trade, appropriate stop-loss settings should be considered.
Furthermore a ‘Three Inside Down’ candlestick chart pattern is discovered. The candles form ‘Three Inside Down’. which is a negative pattern signal. The currency pair is likely to fall. According to the Encyclopedia of Candlestick Charts by Thomas N. Bulkowski, the probability of ‘Three Inside Down’ heading down is 60% (Bull Market) & 63% (Bear Market).
| Support & Resistance | Price Range* |
|---|---|
| 3rd High | 189.82100 |
| 2nd High | 189.65200 |
| Next High | 189.34800 |
| Current Price | 188.86100 |
| Next Low | 188.06700 |
| 2nd Low | 187.45700 |
| 3rd Low | 186.57400 |
189.34800 – 189.65200 – 189.53800 – 188.06700 – 187.45700 – 186.57400
Trading Signals: FOREX – GBP – GBP/JPY – JPY – Three Inside Down