GBPJPY needs new momentum – Analysis – 17-1-2017

The GBPJPY pair ended its negative trading yesterday by settling around 50% Fibonacci level around 137.50, affected by stochastic rally above 50 level, while the price stability above the current price might force it to provide mixed trading and attempt to test 138.80 level until gathering new negative momentum and renew the negative attack until reaching our main target at 135.30.

In general, the main bearish bias will remain valid depending on 138.80 barrier, noting that the contradiction between the major indicators is the main factor to the current sideways fluctuation, waiting to succeed to gather the required momentum in the near term and medium term period.

Expected trading range for today is between 138.90 and 136.10

Expected trend for today: Bearish