Trade of the Day: GBP/JPY

By: Dima Chernovolov

GBP/JPY continues to rise toward the 15-minute key resistance level 155.94 which was previously identified by Autochartist. Autochartist rates the Significance of this resistance level at the 5-bar level – which is the result of the five previous price reversals from this price level. GBP/JPY is expected to continue to rise toward the resistance level 155.94.

As can be seen from the daily GBP/JPY chart below – the pair earlier reversed up from the support area lying between the support 154.85 (former resistance from May), support trendline of the daily up channel from May and the 50% Fibonacci correction of the upward impulse from last month. The proximity of this support area and clear daily uptrend increase the probability GBP/JPY will continue to rise toward the key resistance level 155.94.