Big Picture analysis on GBPJPY: Immediate Support and Resistance levels
The start of every analysis begins with asking the following questions.
- Is it Up/Down or Flat?
- Is there any strategy to apply?
- Is price at any support or resistance now? Is there a 1234 pattern forming?
Looking at the H4 charts, we see that week to week boxes is up. Even if we look at a higher time frame (D1) we can also see price is up.
- Month to month, a strong upward bias can be seen.
- Even within the H4 charts (As seen through the inside boxes of this D1 chart), there is no bearish expansion found.
- Currently price is at a resistance of a previous month high. Clearing this would allow price to head higher giving us a possible H4T strategy.
Immediate Support & Resistance
Price is currently at resistance. There is a few possibilities that can happen at this point.
- Price clears immediate resistance level
- Look for price to retrace to the level as support in a form of a 1234 pattern.
- Price is unable to clear the current resistance.
- Look for price to retrace to immediate support zone in a form of a 1234 pattern.
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