Today’s GBP/JPY signal
risk 0.75%
trade can be taken anytime day or night
Short Trade 1
• on a break below the 125 handle, sell GBP/JPY
• stop loss should be set at 126
• target should be 123
• stop loss should be moved to break even once the market reaches 124
Short Trade 2
• sell GBP/JPY after a rally to the 130 region
• on signs of failure, place short position and set stop loss at 130.20
• target 125.50
GBP/JPY Analysis
The GBP/JPY pair has been stabilizing of the last couple of sessions, and it is likely that we could see a short-term bounce. Because of this, the second trade is probably going to be the more likely of the 2 trades I have put here. However, it’s hard to deny that this pair is in a massive downtrend, so at this point in time I am not looking to buy the British pound against the Japanese yen, and they do believe that eventually we break down below the 125 handle as momentum continues to carry us.
There are no announcements that should move this market significantly today.