GBP/JPY SELL ZONE .....My GBP/JPY sell zone suggests a bearish outlook with downside targets at 192.480, 191.500, and 190.720, while maintaining a stop loss at 194.600.
Key Levels & Analysis:
Resistance (Stop Loss): 194.600 – If price breaks above this, the bearish setup is invalidated.
Support Levels (Targets):
192.480: First support, minor retracement level.
191.500: Stronger support, potential reaction zone.
190.720: Major support, likely to see profit-taking or reversal signs.
Technical Indicators to Watch:
1. Moving Averages: If GBP/JPY is trading below the 50-day and 200-day moving averages, it strengthens the bearish case.
2. RSI (Relative Strength Index): If RSI is below 50 and trending toward 30, it signals bearish momentum.
3. MACD (Moving Average Convergence Divergence): A bearish crossover below the signal line adds confidence to the downtrend.
4. Trendline & Fibonacci Analysis:
Check for a trendline break or a Fib retracement level supporting the sell-off.
Trading Strategy:
If price rejects resistance at 194.600, it confirms bearish sentiment.
A break below 192.480 could accelerate selling pressure toward 191.500 and beyond.
Monitor Bank of Japan & Bank of England news, risk sentiment (stocks, bonds, yen strength) for additional confirmation.
