By Anton Eljwizat – The GBP/JPY has recorded much bearish behavior in the past 2 weeks. However, the technical data indicates that this trend may reverse anytime soon. For example as described below, the daily chart’s signals that a bullish reversal is imminent. This might be a good opportunity for forex traders to enter the trend at a very early stage and at a great entry price.
• Below is the daily chart of the GBP/JPY currency pair.
• The technical indicators that are used are the William Percent Range, Relative Strength Index (RSI), and Slow Stochastic.
• Point 1: There is a “doji” candlestick that has formed on the chart, indicating that a reversal should take place.
• Point 2: The Relative Strength Index (RSI) indicates that the price of this cross currently floats in the oversold territory, signaling upward pressure.
• Point 3: The Williams Percent Range has peaked below the -80 marker, which means that there may actually be a strong level of upward pressure.
• Point 4: The Slow Stochastic indicates a bullish cross, signaling that the next move may be in an upward direction.
GBP/JPY Daily Chart
Forex Market Analysis provided by Forex Yard.
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