GBPJPY Long @ 143.75 was closed for gain of +94 pips before market close on Friday. The current recommendation is a continuation of the earlier trade setup and is a re-entry move on the long side since the trade could offer good risk:reward.
Pound has been bullish as the markets perceive any Brexit news other than no deal is seen positively. Move higher could be seen on talks of second referendum/extending Article 50/some deal. Sharp downward moves should be expected if risk of no deal increases - this is still a lingering risk with EU27 taking a stand and UK Parliament voices getting murky. The uncertainity may continue through this week offering some trading oppurtunities. Phibase team has setup an automated script to buy into retracement dips (Not sharp news based moves). Reversal shorts will be taken on strong shift in risk of no-deal.
- Symbol : GBPJPY
- Analysis time frame H1
- Original Recommendation Date : 28 Jan 2019
- Technical Levels : Support levels
- Potential Reversal Zone : 143.50 to 143.20
- Target Price : 146.00
- Stoploss : 75 pips or below 143.00 which ever is lower
- Hidden Stoploss : below H1 100 MA
- Risk:Reward = 1:3 (-75 pips: +250 pips)
- The trade will need to be trailed with hidden SL against sharp reversals on any adverse news headline