Thursday, January 22, 2015
New Signal GBP/JPY
*Position Update: As of 01/23/2015 @ 7:08 EST: The Global Currency Scalper has closed its GBP/JPY position picking up 43.6 Pips. Two factors for closing, one this pair is approaching the 61.8% Fibonacci level and second this weekend is the Greek elections, we prefer to be in cash during this event.
As of 01/22/2015 @ 11:28 EST:
We have identified GBP/JPY as a possible short trade. This pair has come down from the high it set back in December 2014 to test the 61.8% Fibonacci level. A bounce followed but the GBP/JPY is coming back down for another test. Sellers have stepped into this pair since the ECB officially announced its QE program and we expect them to continue to hit bids especially if a certain level is taken out.
The Global Currency Scalper will be taking a short position on a break of 176.790 with forecast targets of 176.300 which is the 61.8% Fibonacci level mentioned above, then the figure of 176.000 followed by 175.790 which is the low set earlier this month and then possibly as low as the figure of 175.000. We will place a stop on a break of 179.250, if this level is breached prior to initiating a position our view will turn neutral and further evaluation will be needed.