Trading Plan: GBP/JPY Active Trade Update
Updated
Pair: GBP/JPY
Timeframe: Daily
Current Price: 191.240 JPY
Active Trade:
Entry Point: Long entry around 181.337 JPY, triggered based on strong bullish reversal signals.
Stop Loss: 178.109 JPY (below the support zone).
Take Profit:
TP1: 191.000 JPY (near the current price level) – TP1 has been reached.
TP2: 195.768 JPY (previous support turned resistance).
Overview:
The GBP/JPY pair has been in a bearish trend but found strong support around the 181.337 JPY level, where the trade was entered based on bullish reversal signals. The price has now reached near the first take profit level at 191.000 JPY, and we are watching for further upward momentum to reach the second target.
Key Levels:
Resistance Levels:
196.687 - 195.768 JPY: This is the next significant resistance zone where the second take profit target is set.
199.645 - 198.897 JPY: A major resistance area that could be tested if the bullish momentum continues.
201.844 - 201.168 JPY: The upper resistance zone that might come into play if the price breaks above the 200.000 JPY level.
Support Levels:
181.337 - 178.109 JPY: The entry zone and stop loss area, where the price found strong support.
Equilibrium (around 189.000 JPY): A key balance point that could act as support if there is a pullback.
Technical Indicators:
Bullish Reversal: The price showed strong bullish signals at the 181.337 JPY level, leading to the current long position. The first target has been achieved, and the price is now approaching resistance.
Price Action Forecast: The bars shown in black represent a price action forecast, suggesting potential future movement within the current trend.
Next Steps:
Monitor Price Action: Watch closely as the price approaches the 195.768 JPY resistance level. If the price struggles to break through, consider adjusting the stop loss to secure profits.
Adjust Stop Loss: As the price nears the second take profit level, you may consider moving the stop loss to just below the 191.000 JPY level to lock in gains.
Exit Strategy: If the price reaches 195.768 JPY, take profit on the remaining position, or watch for signs of continuation for potential further gains.
Risk Management:
Risk-to-Reward Ratio: Maintain a 2:1 or better risk-to-reward ratio.
Position Sizing: Keep the position size consistent with your risk management rules, risking no more than 1-2% of your account on this trade.
Conclusion:
The GBP/JPY pair has shown strong bullish momentum after finding support at the 181.337 JPY level. With the first target already achieved, traders should now focus on managing the position as the price approaches the next resistance. The daily chart suggests that the forecasted price action, indicated by the black bars, aligns with the ongoing bullish trend. Always adhere to your risk management strategy to protect your capital.
Timeframe: Daily
Current Price: 191.240 JPY
Active Trade:
Entry Point: Long entry around 181.337 JPY, triggered based on strong bullish reversal signals.
Stop Loss: 178.109 JPY (below the support zone).
Take Profit:
TP1: 191.000 JPY (near the current price level) – TP1 has been reached.
TP2: 195.768 JPY (previous support turned resistance).
Overview:
The GBP/JPY pair has been in a bearish trend but found strong support around the 181.337 JPY level, where the trade was entered based on bullish reversal signals. The price has now reached near the first take profit level at 191.000 JPY, and we are watching for further upward momentum to reach the second target.
Key Levels:
Resistance Levels:
196.687 - 195.768 JPY: This is the next significant resistance zone where the second take profit target is set.
199.645 - 198.897 JPY: A major resistance area that could be tested if the bullish momentum continues.
201.844 - 201.168 JPY: The upper resistance zone that might come into play if the price breaks above the 200.000 JPY level.
Support Levels:
181.337 - 178.109 JPY: The entry zone and stop loss area, where the price found strong support.
Equilibrium (around 189.000 JPY): A key balance point that could act as support if there is a pullback.
Technical Indicators:
Bullish Reversal: The price showed strong bullish signals at the 181.337 JPY level, leading to the current long position. The first target has been achieved, and the price is now approaching resistance.
Price Action Forecast: The bars shown in black represent a price action forecast, suggesting potential future movement within the current trend.
Next Steps:
Monitor Price Action: Watch closely as the price approaches the 195.768 JPY resistance level. If the price struggles to break through, consider adjusting the stop loss to secure profits.
Adjust Stop Loss: As the price nears the second take profit level, you may consider moving the stop loss to just below the 191.000 JPY level to lock in gains.
Exit Strategy: If the price reaches 195.768 JPY, take profit on the remaining position, or watch for signs of continuation for potential further gains.
Risk Management:
Risk-to-Reward Ratio: Maintain a 2:1 or better risk-to-reward ratio.
Position Sizing: Keep the position size consistent with your risk management rules, risking no more than 1-2% of your account on this trade.
Conclusion:
The GBP/JPY pair has shown strong bullish momentum after finding support at the 181.337 JPY level. With the first target already achieved, traders should now focus on managing the position as the price approaches the next resistance. The daily chart suggests that the forecasted price action, indicated by the black bars, aligns with the ongoing bullish trend. Always adhere to your risk management strategy to protect your capital.
Note
Partial taken Sl at breakeven
Trade closed: target reached
profits booked
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