Thursday's Forex Update: GBP/JPY
AutoChartist | Nov 23, 2017 06:23AM ET
GBP/JPY continues to fall inside the clear Falling Wedge chart pattern which was previously identified by Autochartist on the daily charts. Autochartist rates the quality of this Falling Wedge at the 5-bar level – which is the result of the slow Initial Trend (3 bars), below-average Uniformity (4 bars) and significant Clarity (8 bars). GBP/JPY is expected to fall further inside this Falling Wedge – in line with the earlier downward reversal from the of major resistance level shown below.
As can be seen from the daily GBP/JPY chart below, the top of this Falling Wedge formed when the price reversed down with the daily Japanese candlesticks reversal pattern Evening Star from the strong resistance level 151.20 (which also reversed the pair with the daily Bearish Engulfing in October). The proximity of this resistance level and the 50-day moving average (acting as resistance after it was broken recently) increases the probability GBP/JPY will continue to fall inside this chart pattern.
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.