Current position: Short GBP/JPY

Technical Analysis: The chart shows that the price is moving in a strong downward trend. Once she made two lower bottoms she headed north to test the 50 periodic moving averages. At the touch of the average GBP/JPY made a double peak from where again turned the direction starting consolidation. On 27.06.19 the price made the third highest peak reaching several strong resistances. The blue trend line is the active resistance of the bearish trend channel, while the white trend line is the resistance of the current consolidation. The price managed to test both as a one-hour time frame made by the "Pinsets" formation. This formation signals a reversal of the direction of movement, in which case it is combined with two strong resistances, which increases the probability of execution. As we can see from the chart after the formation was confirmed, we entered a "sell" deal. There are two possible levels for taking profits.

First Level: If the price fails to break the backing of consolidation and make a price action that suggests that it will turn, then we will close the position there.

Second level. If the price breaks consolidation, then it will get the support of the downstream channel where the deal is set and take profit.

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