GBPJPY is heading towards the support level at the given support level of 166. This level is the previous resistance broken to turn support. The trend on the pair is still bullish and can continue moving further up. This support aligns with the previous low as the market is forming higher highs and higher lows.

The descending trendline is acutely above the trendline and has the potential to breakout from the trendline for buys. Once broken out, the confirmation for the buys will be confirmed.

The retracement area of 50% aligns with the support level. This level is to be retained as the potential mark up on the pair.

EMA 50 has turned bullish and has already retested the market at the support level, forming a confluence.

RSI is at 62. It needs to dwell towards the neautralized level or over sold region where bullish divergence can be formed and the market can have a massive launch up with the acute divergence formation.

Missed the rally train on GBPJPY

Oct 18 2022