GBP /JPY: opportunity to short positions In the trend

13.03.2017 / 12:34

Rating:

Date: 13.03.2017
Instrument: GBP/JPY
Timeframe: H4

The price is in a downtrend, it is adjusted to diagonal resistance, then available strong bearish momentum. Currently the price test pulses, and forming a bearish pin bar on the diagonal levels of resistance and 23.6% Fibonacci retracement.

Price Action: strong bearish momentum correction and forming a bearish pin bar - negative price formation.

Indicators:
- DEM (14) - turned the momentum in the first and currently passed under 0.7 - negative price formation.
- 50SMA below 200SMA - negative placement of moving averages.

Entrance. The options for entrance are two. One is to enter aggressively, and the other to wait for correction pin bar and so to enter Short better positioning.

SL: 140.99

Alternative scenario: If the price crosses back above the diagonal resistance and 23.6% Fibonacci retracement, probably will observe bullish momentum and a test of the 38.2% Fibonacci retracement and the long diagonal resistance.

Jr_Trader_P_Milanov

Varchev Traders

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GBP /JPY: opportunity to short positions In the trend

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