Overall analysis of GBPJPY for January 2023 Hey everyone!
Welcome to my first analysis posted publicly, it consist on a bullish setup on gbpjpy based on several factors that i will enounce below
On the daily time frame:
1)S/R analysis : Price bounced strongly on the demand zone (154-156 lvl) which is an historical key level as it was tested as support/resistance several time during the year 2022 and 2021.
And there is no major resistance until 168 lvl
2)candlestick analysis : price formed a doji when testing the support then formed a bullish engulfing which is a sign of trend reversal
3)trading indicator : RSI formed a doble bottom
On the 1H timeframe:
1)Highs and lows method : trend turned bullish
2)patterns : At first we could see price forming a V shape and buyers was successful to reach higher levels, that confirmed a trend reversal. Now the price formed a flag pattern which is a trend continuation pattern with a pretty high winning rate when used correctly
based on this, here is a great opportunity to buy the GBPJPY and aiming for 164.000 lvl as first target and 168.000 as second target
Personally i would wait for a 1h candle to break the triangle before opening my position, as it would ensure me an entry at the right time when momentum is rising.
Give a thumbs up if you agree
Have a great week
I wish you luck, and see you soon !!
