Our free forex signals service trade today is a sell order on the GBP/JPY pair.
The currency pair dropped like a rock in the short term as the Japanese Yen Futures managed to rebound. It’s traded at 155.76 level at the time of writing far below 156.90 today’s high.
Technically, the price action signaled that the upside movement ended and that it could develop a corrective phase. The GBP/JPY pair plunged after the BOJ, but a larger downside movement needs strong confirmation.
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As you already know, the Bank of Japan maintained its monetary policy, keeping its BOJ Policy Rate unchanged at -0.10%. Still, the BOJ raised the inflation forecasts to 1.1% versus 0.9% previous forecasts.
UK Unemployment Rate 4.1%
The British Pound depreciates even if the United Kingdom Unemployment Rate dropped unexpectedly from 4.2% to 4.1%. In addition, the Claimant Count Change was reported at -43.3K versus -38.6K expected, while the Average Hourly Earnings came in line with expectations, registering a 4.2% growth.
As you can see on the H4 chart, the pair retested the descending pitchfork’s upper median line which represents a dynamic resistance and now could challenge the 23.6% retracement level. A valid breakdown could signal deeper drop.
Free forex signals – SELL GBP/JPY at 1.55.30
Free forex signals entry price and takes profit
Instrument: GBP/JPY
Order Type: SELL STOP
Entry price: 155.30
Stop Loss: 157.06
TP1: 152.31
My Risk: 1%
Risk / Reward Ratio: 1:1.7
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