2025/08/19 GBP/JPY Trade Strategy

Today's GBP/JPY call: Sell.

Still a range with no clear direction.
For day trading, I’m assuming a range from the blue line at 199.8 down to around 199.3.
Within that range, I’d like to sell from the top.

Scenario A
Buying the dip after a range breakout, but even if price breaks the blue line, it’s still a range on the 1-hour and 4-hour charts.
Don’t rush to jump in; wait for a pullback and go long.
Target is around the pink line at 200.2

Scenario B
Short once price retraces back to around the blue line.
Watch the lower timeframes and enter once the rise stalls.
Expecting a break of the range low, target is 199

Scenario C
If price drops without a retracement, I’ll go short and ride the downward flow.
The idea is to sell from small retracements near the range low.
Target is also 199

Review

It turned out to be Scenario B.

This is a short from the move where price was capped at the blue reference line and started to fall.
I was waiting for a short-term double top, but this is the pattern where price dropped without forming one.
In that case, I enter at the red circle after the short-term trend breaks down.

For profit-taking, since it was late at night, I set a limit order after confirming that price broke below the pink line and kept falling. 60 pips