Morning Report

gbpjpy

The sideway trading for the pair has extended for a while;where wesee that the pair is trading within a symmetrical triangle, which might represent the CT wave. Trading above the 20 MA at 149.50, in addition to positive signs on Stochastic makes us believe that the pair today will form an ascending D wave which targets the top of the triangle at 150.85 before resuming the downside move. Due to that, we expect that the pair will move to the upside today, temporarily, yet the sideways fluctuation might generally prevail.

The trading range for today is among key support at 144.10 and key resistance at 154.00.

The general trend is to the downside as far as 167.40 remains intact with target at 116.00.

Support149.35148.80147.85147.00146.45
Resistance150.00150.85151.25151.75152.30
RecommendationBased on the charts and explanations above our opinion is, buying the pair at 149.50 targeting 150.85 and stop loss below 148.75 might be appropriate