2025/03/12 GBP/JPY Strategy
It went up. In the short term, I’ll keep a bullish bias.
Both the daily chart and the 4-hour chart are ranging, so I think it’s best not to hold for long, set a target, and take profits quickly.
Scenario A
A long aiming for the support/resistance (S/R) after a further rise from here.
Target is around 192.4.
Scenario B
A pattern where it forms a pullback first and then rises.
Target is 191.7, but if it breaks above that, up to around 192.4.
Scenario C
A pattern where it makes a deep pullback and the 1-hour chart also turns into a range.
A short targeting the drop that forms the pullback, with an initial target around 190.6.
If you want to be greedy, hold until around 190.3.
Review
Price rose without pulling back as deeply as this morning’s Scenario B.
That’s a pretty common pattern.
If you wanted to get in before the rise, ○1 would probably be the spot. The lows kept turning up (making higher lows), and in the short term this was buying the dip after price had already made a new high once.
After that came ○2, which is this morning’s Scenario A.
A long aiming to catch the rise up to the recent high on the 4-hour chart (H4). 55pips
The next one comes after the scenario update: ○3 is a buy off support/resistance (S/R) after price broke above it, targeting the next line up.
After entry there was a drop that left a long lower wick, so that was a bit of a scare. 50pips
This article reflects the author's personal view of the market. It does not recommend any specific trade; all investment decisions are your own responsibility.
