GBPJPY weekly bias

12 lut 2023

British pound to the Japanese yen is currently sandwiched in between an area of supply in an area of demand. The area of demand is the larger of the two POI's But both have an effect on the market... Coming into this week, you can see we have two large areas of liquidity, one below and one above. I believe the larger time frame is looking to go bearish. With this in mind, I would like to see a pullback to fill the fair value gap above as well as tap into the area of supply you can see highlighted.

As shown on the smaller time frame perspective, we have an area of supply and an area of demand sitting above and below the price which could affect the direction it moves in short term, My preferred move for this would be a short-term sweep of the lows with a longer term pullback to fill the fair value gap above. But as always, we will watch this in a smaller time frame to see which direction it truly wants to travel in.

I will be looking for a long to a short idea on this. Based on what we see in the first couple of sessions.

At present, our main breaks are structured to the downside, hence why I would prefer to see a longer-term down move.