Forex Technical Update June 23, 2010 GBP/JPY: More Evidence for Bearish Outlook
- 4H and 1H: The 4H chart shows that momentum may have started to become bearish. However inability for the RSI in this time-frame to break below 40 fails to confirm this. The RSI reflects price action which has been consolidating sideways, or a triangle pattern.
- The 1H chart shows that the rally since yesterday may be over in the form of a gartley retracement pattern. There was not exactly an ab = cd type of equality, but the retracement met resistance at 61.8% at 134.90.
- If the market breaks below 133.90, it is in likely to be in a swing towards 132.05, a full projection from a previous down swing.
- This would also break below the support of the triangle seen in the 4H chart, adding more evidence for the bearish outlook seen in the previous GBP/JPY update.
Fan Yang Currency Analyst Commodity Trading Advisor
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