19.06.201916:32 Forex Analysis & Reviews: June 19, 2019 : GBP/JPY demonstrating early signs of bullish recovery. Suggested BUY position to be considered.

This information is provided to retail and professional clients as part of marketing communication. It does not contain and should not be construed as containing investment advice or investment recommendation or an offer or solicitation to engage in any transaction or strategy in financial instruments. Past performance is not a guarantee or prediction of future performance. Instant Trading EU Ltd. makes no representation and assumes no liability as to the accuracy or completeness of the information provided, or any loss arising from any investment based on analysis, forecast or other information provided by an employee of the Company or otherwise. Full disclaimer is available here.

On May 3rd, the GBPJPY pair initiated the depicted bearish movement channel around 146.45

On March 21, another visit towards the upper limit of the same channel (141.70) was demonstrated.

Since then, the depicted downtrend/channel has been intact until June 4 when the pair failed to achieve a new low below 136.50. This was followed by a bullish breakout off the depicted bearish channel.

Moreover, a short-term uptrend line was established around the same Price levels (136.50) until June 12 when the latest bearish pullback was initiated towards 136.50(23.6% Fibonacci Expansion) then 135.44 (78.6% Fibonacci Expansion).

Recently, obvious bullish recovery has been manifested. Bullish persistence above 136.50 is currently being demonstrated on the H4 chart.

Technically, a quick bullish advancement should be expected towards 137.80 initially where the backside of the broken uptrend is currently located.

On the other hand, H4 re-closure below 136.50 enhances the bearish side of the market towards 135.44 and probably 135.03 for further retesting.

Trade Recommendations:

Short-term outlook remains bullish as long as bullish persistence above 136.50 is maintained on the H4 chart.

Conservative traders can wait for bullish breakout above 136.95 for further confirmation. Initial Target levels should be located around 137.80 and 138.50.

Any bearish breakdown below 136.00 invalidates the mentioned bullish scenario.

Back to the list

Open trading account

InstaForex analytical reviews will make you fully aware of market trends! Being an InstaForex client, you are provided with a large number of free services for efficient trading.