- Most recently, GBPJPY has broken all the major mid-term supports and gone significantly lower. The drop amounted to around 350 pips and was a great selling opportunity. Now it’s time for the reversal. The price is about to test the recent supports as the new resistances. Everything is happening in a flag pattern. A breakout of the lower line of this formation would be a sell signal.
- Cable is locked inside the flag and between the horizontal resistance at 1.34 and the horizontal support at 1.33. A breakout of the support is more probable and could bring us a strong sell signal.
- USDCHF is yet another pair where we have to wait for a breakout. Here, we have a double bottom formation along with a flag pattern. Both of them are pointing north, but before the buy signal can be triggered, we need to see the price closing above the green area.
Alpari - Analytics
