Monday, August 31, 2009

H4 Chart Trendlines Update

I drew some trendlines in Pound/Yen 4 hour time frame as shown in the above screenshot. The pair opened with a gap of 57 pips below Friday's close. I added a short position at 151.91 and closed it along with my previous position at 151.20 and 150.90 respectively. My plan for the rest of the day is still sell at resistance. Or, I might sell if the pair close below the trendline in the next 3 and a half hour. Have a nice day! ;)

Saturday, August 29, 2009

Daily Chart

Above is the screenshot of GBP/JPY daily chart. The current uptrend from 118.80 may come to and end after reaching 163.06 on August 7. Drawing a fibonacci retracement from those bottom and top, we can see that the pair had closed below 23.6% level this week. We can also see that the broken support at 153.45 was tested today. Now it seems that we should anticipate further bearish for next week.

The next fibonacci level is th 38.2% retracement level at 146.16, near July 8 low at 146.74. However, the pair must break this week's low first at 151.05 before attempt to test 146.16/146.74 support area. I already have a position, entered at 151.73. It's floating in red now. And although I think that the pair could reach 38.2% level, I wouldn't wait until it reach that price to close my position. I'd prefer to enter another position later if there is any opportunity.

The Cold Open

Dear readers,

This blog will be dedicated for GBP/JPY trading. My intention is to provide technical analysis using some simple tools such as trendlines, fibonacci, and moving average. I have some preference about defining a trend and entry strategy. Lets just find a trend first, shall we? I hope that I can do my best to cover everything about GBP/JPY.