Do you remember that on Tuesday, I said that I believe bullish momentum on Monday is the real direction after last week noises from important news? Well, now I think I was wrong as the bullish pressure failed to keep it’s momentum. On daily chart below, we can see that the price has break below my triangle indicating potential bearish scenario testing 133.35 (Monday’s low). However, I think I will stay out for now as overall I can not see clear direction. Immediate resistance at 134.50. Break above that area should trigger further bullish momentum but that is just confirm my my view that we have no clear direction and this week movement could be indecisive.
The GBPJPY made a false breakdown from the trendline support yesterday, as you can see in my daily chart below. This fact suggest that we are still consolidating and in no trading zone area as we have no clear direction and might find this pair indecisive this week. I will keep stay away from this pair and see if we have a significant progress next week. Immediate support at 149.20/30. Break below that area should trigger further bearish pressure. Initial resistance at 150.26. Break above that area should trigger further bullish momentum testing the trendline resistance area.
My breakout strategy was a failure yesterday. As you can see in my h4 chart below, that was a case of a false breakout before some significant bearish momentum, bottomed at 0.9209 and closed at 0.9237. Technically this fact should trigger further bearish pressure at least testing 0.9180 area, but I think I will stay away now and wait for further development. Expected range at 0.9327 – 0.9180.