GBPJPY Engulfing Bar + Pin Bar Reversal | Aug 1st
GBPJPY – Forms Large Engulfing Bar
For the first day in six, the GBPJPY closed bullish, although this time it did so via a large bullish engulfing bar (which almost took out the last two days of selling – see daily chart below). You can see how the impulsive bullish price action started with an intraday pin bar on the 1hr chart (also a double bottom) off the 148.30 level, whereby the pair climbed for over 230 pips straight.
The intraday charts are showing consolidation after the large impulsive move, suggesting more upside. Any pullbacks towards 148.50/30 area would be potential places to go long. In terms of upside resistance, once it clears 150.90, 151.84 and 152.90 will be up next. Short term, we favor the upside, but NFP tomorrow can be a game changer so try and neutralize risk ahead of the announcement.
Make sure to check out my latest article on Why We Close Winning Trades Early.
Want More? My private members get all my trade ideas & market commentary up to 3x per week. Click here to become a member.
Want to Learn Price Action Strategies for Trading Forex?
Sign Up for our Monthly Newsletter and Get our FREE E-Book