Morning Report

gbpjpy02_08_2011

The pair declined sharply yesterday to breach the support of the range bound and approach the awaited targets at 124.00. The pair is trading around the retest level of the breached support at 126.65. Closing yesterday below this level push us to expect continuation of the downside move targeting again 124.00. Trading above 126.65 may delay the awaited targets.

Trading range for the day among the major support at 123.30 and the major resistance at 128.15.

The short term trend is to the upside targeting 112.00, as long as 150.00 remain intact.

Previous Report

Weekly Report

Support126.10125.65124.85124.00123.30
Resistance126.65126.90127.50128.15128.55
RecommendationBased on the charts and explanations above we recommend selling the pair around 126.65 targeting 124.00 and stop loss above 128.15 may be appropriate.