13 May 2014
GBP/JPY: Buy on weak pullback into support trendline -2ndSkies
FXStreet (Bali) - Chris Capre, Founder at 2ndSkies, notes the ascending triangle formation in GBP/JPY, which has so far held as dynamic support to keep adding pressure for a potential breakout of the impregnable 173.50 resistance area.
Key Quotes
"Yesterday in our members commentary, we talked about the GBPJPY potentially finding support at the ascending triangle / rising support line. Today the pair found this and buyers, jumping higher on the day. For now, this confirms the pattern is still in play, and buyers are for now willing to step in on dips."
"Watch for corrective price action pullbacks into the rising support line. Assuming the pair doesn't breakout above the resistance first, I'll look to buy on a weak pullback into the line, with tight stops below the line and the prior swing low from Friday. Upside targets are the triangle resistance line for now, and potentially a move towards the 'big figure' at 175."
Key Quotes
"Yesterday in our members commentary, we talked about the GBPJPY potentially finding support at the ascending triangle / rising support line. Today the pair found this and buyers, jumping higher on the day. For now, this confirms the pattern is still in play, and buyers are for now willing to step in on dips."
"Watch for corrective price action pullbacks into the rising support line. Assuming the pair doesn't breakout above the resistance first, I'll look to buy on a weak pullback into the line, with tight stops below the line and the prior swing low from Friday. Upside targets are the triangle resistance line for now, and potentially a move towards the 'big figure' at 175."