GBPJPY: keep an eye on this Short Trade idea!
Hello, everybody, and welcome to my TradingView’s profile, my name is Gianni and today I’m going to analyse the GBPJPY, translating the market information by using a full technical analysis on different time frames, giving you a personal opinion about the next most likely market movement and helping you to spot and manage market opportunities.
My ideas are for those who are interested in improving their financial education and for those who are looking for new trading opportunities, according with their own strategies.
Daily timeframe:
4 hours timeframe:
Since the beginning of January 2021, the market has been consolidating, getting many fluctuations inside this big fair value area.
The overall long term trend is still bullish, but few clues let me think in a possibility of market reversal. Having a look in lower timeframe, the price clearly formed an intraday fair value area, after its bullish impulse.
The price moved soon below the price control level, and with sellers in control it reversed its trend.
Currently in corrective move, the possibility of trend continuation to the downside is quite high!
When, where and why would I step into the market?
Considering this strong intraday bearish movement and the price in corrective wave, I would definitely be looking for a short position. However, before entering the market, I will be waiting for a breakout of this rising wedge and any sign of continuation would be my entry point. My stop loss would be above the recent swing (or pullback after the breakout) and the take profit around the key level (also daily price control).
I will avoid any trade setup with a RRR less than 1:2. In the scenario of market continuation to the upside, the trade setup would be invalidate and no action will be taken.
My ideas are for those who are interested in improving their financial education and for those who are looking for new trading opportunities, according with their own strategies.
Daily timeframe:
4 hours timeframe:
Since the beginning of January 2021, the market has been consolidating, getting many fluctuations inside this big fair value area.
The overall long term trend is still bullish, but few clues let me think in a possibility of market reversal. Having a look in lower timeframe, the price clearly formed an intraday fair value area, after its bullish impulse.
The price moved soon below the price control level, and with sellers in control it reversed its trend.
Currently in corrective move, the possibility of trend continuation to the downside is quite high!
When, where and why would I step into the market?
Considering this strong intraday bearish movement and the price in corrective wave, I would definitely be looking for a short position. However, before entering the market, I will be waiting for a breakout of this rising wedge and any sign of continuation would be my entry point. My stop loss would be above the recent swing (or pullback after the breakout) and the take profit around the key level (also daily price control).
I will avoid any trade setup with a RRR less than 1:2. In the scenario of market continuation to the upside, the trade setup would be invalidate and no action will be taken.
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