Category Archives: GBP/JPY

GBP/JPY Diving Board Reversal Pattern

Nenad Kerkez

The GBP/JPY has formed a variation of a V-shaped pattern named “Diving Board”. The diving board is a reversal pattern that forms after the price makes a flat base than drops down with a high momentum that is followed by a straight-line run-up. V-shaped reversal is created, and the price proceeds up. At this point, we can see two POC zones. The first POC is 149.00-149.10 (D H3, W H3, Order block). Because of the strong trend that we can spot, the first POC zone could show a rejection if the price retraces. If we see a broader retracement below POC1 than pay attention to POC2 (50.0, EMA89, W L3) 148.35-148.66. Rejections from any of POC zones should target 149.90 and 150.47. more…

GBPJPY: Ending Correction

Daud Bhatti

GBPJPY Short Term Elliott Wave suggests that the decline to 8/23 low at 139.27 ended Minor wave W. Minor wave X bounce is currently unfolding as a double three Elliott Wave Structure. Minute wave ((w)) of X ended at 141.47, Minute wave ((x)) of X ended at 139.98, and Minute wave ((y)) of X is subdivided into a FLAT. Minutte wave (a) of ((y)) ended at 141.09 and Minutte wave (b) of ((y)) ended at 140.39. Minute wave ((y)) of X has now reached 1.236 extension of ((w))-((x)) and thus the cycle from 8/23 low (139.27) is mature. Sellers may appear anytime from 142.65 – 143.49 area for an extension lower or at least a 3 waves pullback. We don’t like buying the pair. more…

GBP/JPY MACD Divergence At Monthly Support

Nenad Kerkez

The GBP/JPY has made a temporary bottom at 141.25 and we can see MACD divergence that could push the price to the upside.141.25-50 is the zone where price might spike towards the 142.60-85 where new sellers might be waiting. Only a clear 4h close or h1 momentum above 142.90 should target 143.40. Bearish continuation happens only below 140.90, but at this point, the GBP/JPY is supported by Monthly and Weekly supports and bullish MACD divergence. more…

Elliott Wave Analysis: GBPJPY and USDJPY

Grega Horvat

GBPJPY is making a five-wave bearish structure within blue wave c as part of a three-wave consolidation. We see current intra-day structure unfolding an overlapping movement, which can mean a potential ending diagonal within red wave v) of c can be in progress. If that is the case, then once current red wave v) fully unfolds a sharp and strong reversal to the upside can come in play. more…

GBP/JPY Inverted Triangle Upside Broken

Nenad Kerkez

Global equities rally that extended in Asia session weakened the Yen and it fell vs its main counterparts USD and GBP. Both USD/GBP/JPY are heavily connected to Equity markets and when Equities are going up both USD/JPY and GBP/JPY are going up too. The pair has formed an Inverted Triangle (ConTriangle) and subsequently broke its top so we might see a retest-continuation. more…

GBP/JPY More Downside Expected

Nenad Kerkez

When other pairs are moving in a low ATR, the GBP/JPY aka “The Dragon” simply doesn’t care about thin holiday liquidity. ATR of last seven days is 115 and that leaves traders with a more room to trade it. Technically we have 2 POC zones. The first POC zone 143.35-143.50 (38.2, bearish order block, ATR level) could reject the price should the pair retrace. Slightly above it is POC2 143.60-85 (H3,50.0, DPP, ATR projected top). Traders should pay attention to possible ejections from the zones towards 143.00 and 142.40. more…

Elliott Wave Analysis On SILVER And GBPJPY

Gregor Horvat

On the intraday chart of Silver, we think that market can be trading in final stages of a corrective set-back. We have seen a very big spike on Friday to 19.00 area from where market turned back to the lows. As it appears right now, we think that silver can be making an ending diagonal here in black wave 5, meaning that another and final push down to 18.20 area can be coming this week where we would pay attention to a bullish turn. more…

GBP/JPY The Dragon Is Flying High

Nenad Kerkez

The GBP/JPY aka “the Dragon” has a strong correlation with equities. Last night Japan, HK and Australian markets went up due to commodities prices up, abenomics in Japan, and follow through risk-on due to US Equities performing strongly overnight. Nikkei was probably the best performer as it has been up 1200pts in 3 days. more…

Markets React To Shock Brexit Outcome

Fawad Razaqzada

As it became clear that the outcome of the UK referendum was going to be an exit from the EU, the pound literally got pounded as it dropped from an overnight high of 1.50 to sub 1.33 when the news was confirmed, while the FTSE tanked nearly 10% at the open. Most people were undoubtedly wrong-footed given how confident some betting companies were in pricing in the odds for remain. Naturally, the markets have rebounded sharply off their lows as you would expect. Profit-taking and dip buyers have, for now, provided some relief. Traders who have not yet expressed their views are starting to come back into the markets as key levels are re-tested, so volumes and volatility should remain high for a while yet. Given what has happened, most speculators are likely to step in and fade the rallies rather than buy the dips. more…