GBP/JPY Trading Strategy - Buy to 194
I. Technical Analysis
1. Overall Trend
On the H4 timeframe, GBP/JPY shows signs of a bullish reversal:
The price has broken through the previous resistance zone 190.4 - 191.0 and is holding above it.
EMA 33 & EMA 50 are starting to slope upwards, indicating an uptrend.
Volume is increasing as the price bounces off the support zone.
On the D1 timeframe, GBP/JPY is recovering from a correction, aiming for the next resistance zone 194.0 - 194.2.
2. Key Support & Resistance Levels
✅ Strong Support (Potential Buy Zone):
190.2 - 190.4: Newly established support after the breakout.
189.2: Strong support; if broken, the uptrend may be invalidated.
✅ Target Resistance (Take Profit - TP):
194.0 - 194.2: Significant resistance on H4 & D1 charts.
✅ Trend Confirmation Indicators:
RSI > 55, not overbought, still has room to rise.
Volume increasing on price rise, confirming buyers' control.
II. Trade Setup
1. Entry Point
BUY entry when price retraces to 190.4 - 191.0.
Split orders:
50% of the position at 190.4.
Remaining 50% at 190.0 if the price continues to correct.
2. Stop Loss (SL)
189.2: If the price breaks this level, the uptrend is invalidated.
3. Take Profit (TP)
TP1: 192.5 → Close 50% of the position and move SL to breakeven.
TP2: 194.0 - 194.2 → Close the remaining position.
4. Risk/Reward Ratio (R:R)
Average Entry: 190.7
SL: 189.2 (-1.5 pips)
TP: 194.0 (+3.3 pips)
R:R = 2.2:1 → Favorable risk-reward ratio for swing trading.
III. Risk Management & Market Scenarios
🔸 If price moves in our favor:
✅ When the price reaches 192.5, move SL to breakeven to secure capital.
🔸 If price drops to 189.2:
❌ Exit all positions as the uptrend is invalidated.
🔸 Key signals to watch:
⚠️ If price surges past 191.8 without a pullback, consider waiting for a retracement before entering.
IV. Conc......
BUY GBP/JPY at 190.4 - 190.0, TP 194.0, SL 189.2.
Good R:R ratio (2.2:1), suitable for swing trading.
Holding period: Within this week, monitor closely.
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I. Technical Analysis
1. Overall Trend
On the H4 timeframe, GBP/JPY shows signs of a bullish reversal:
The price has broken through the previous resistance zone 190.4 - 191.0 and is holding above it.
EMA 33 & EMA 50 are starting to slope upwards, indicating an uptrend.
Volume is increasing as the price bounces off the support zone.
On the D1 timeframe, GBP/JPY is recovering from a correction, aiming for the next resistance zone 194.0 - 194.2.
2. Key Support & Resistance Levels
✅ Strong Support (Potential Buy Zone):
190.2 - 190.4: Newly established support after the breakout.
189.2: Strong support; if broken, the uptrend may be invalidated.
✅ Target Resistance (Take Profit - TP):
194.0 - 194.2: Significant resistance on H4 & D1 charts.
✅ Trend Confirmation Indicators:
RSI > 55, not overbought, still has room to rise.
Volume increasing on price rise, confirming buyers' control.
II. Trade Setup
1. Entry Point
BUY entry when price retraces to 190.4 - 191.0.
Split orders:
50% of the position at 190.4.
Remaining 50% at 190.0 if the price continues to correct.
2. Stop Loss (SL)
189.2: If the price breaks this level, the uptrend is invalidated.
3. Take Profit (TP)
TP1: 192.5 → Close 50% of the position and move SL to breakeven.
TP2: 194.0 - 194.2 → Close the remaining position.
4. Risk/Reward Ratio (R:R)
Average Entry: 190.7
SL: 189.2 (-1.5 pips)
TP: 194.0 (+3.3 pips)
R:R = 2.2:1 → Favorable risk-reward ratio for swing trading.
III. Risk Management & Market Scenarios
🔸 If price moves in our favor:
✅ When the price reaches 192.5, move SL to breakeven to secure capital.
🔸 If price drops to 189.2:
❌ Exit all positions as the uptrend is invalidated.
🔸 Key signals to watch:
⚠️ If price surges past 191.8 without a pullback, consider waiting for a retracement before entering.
IV. Conc......
BUY GBP/JPY at 190.4 - 190.0, TP 194.0, SL 189.2.
Good R:R ratio (2.2:1), suitable for swing trading.
Holding period: Within this week, monitor closely.
Welcome Follow Me, Thanks!
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Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.