GBPJPY is in a solid uptrend with the bullish pressure of higher highs and higher lows. That being said, the pair has already over exhausted with the bullish pressure and is going to head even further after the retracement. We will not be looking to take the counter trend trade of the reversal as there is bullish momentum pertaining to the pair. That being said, we will wait for the pair to retrace and buy at the support level of 168.

The ascending trendline might confluence with the price action at the support level and may reject. We will look at this after market hits the support level.

The retracement area of 61.8% is in confluence with the support levle at the price of 168, which gives us a good opportunity to go long.

EMA 50 is being retested at the benign support level and market managed to hover above it for the while. As it is a bullish trend, we anticipate the market to break above the EMA 50 and continue moving up.

RSI is at 47. This is the region near the neutralized level and has the potency to continue moving up. At the support level, we might see a confluence of the over sold exhaustion.

GBPJPY testing the support

May 05 2023