GBPJPY: Waiting for a short term range breakout
In the last weeks the JPY crosses have been trading in a pretty wide range, the GBPJPY for instance went from around 150.35 to around 139.79 to 148.20 and right now it is trading at 142.55, this is more than 2,500 in a little more than 3 weeks. These are the swings that we need to stalk:
Right now the GBPJPY is trading around the LT support level of 142.62, in the short term charts this zone accounts for: 144.02 and 142.17 (quite large short term range). So right now I’m waiting for the market to break that range before starting to look for a trade opportunity.
So here is my Trading Plan:
If the Pound-yen breaks the 144.02 ST resistance level, I will be looking for long trade opportunities.
If the GBPJPY breaks the 142.14 ST support level, I will be looking for short trade opportunities.
If it continues to trade in the ST range I will do nothing.