Divergence on GBP/JPY

Divergence on GBP/JPY

Since the beginning of this month, there has been a pronounced upward trend on the GBP/JPY currency pair. Nevertheless, technical correction is not excluded in the near future. A sufficiently strong reversal formation, the price and MACD histogram divergence, was formed in the trading instrument (H4 timeframe). At the moment, the price is testing a "mirror" support level of 151.500.

If the price fixes below 151.500, we recommend considering sales of GBP/JPY. The closest target for profit taking is the level of 150.250. In the medium term, the GBP/JPY currency pair can reach a round level of 148.00. When following a position, one should use a trailing stop.

by JustForex, 2017.09.22

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This article reflects a personal opinion and should not be interpreted as an investment advice, and/or offer, and/or a persistent request for carrying out financial transactions, and/or a guarantee, and/or a forecast of future events.