Wednesday, June 22, 2016

Possible end of a pullback on the GBP/JPY

On the daily chart of the GBP/JPY we can see how the pair fell from the 163.87 to the 146.00. Once the price touched the 146.00 level, it bounces to the upside and retraces very close to the 55 day exponential moving average, purple line, around the 155.91. That level around the 55 day EMA may act as resistance and the pullback may end around this zone. The price may bounce to the downside and in such case, the first support that it could find is the 151.64. The low at the 146.00 zone could also become support if the price reaches that area. Above the 55 day EMA there are no visible or relevant resistances until the high at the 163.87 level.


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