【9/24 (Tue)】Analysis of Pound/Yen price movement and trade strategy
Hello, I am Kinugasa.
This is the pound/yen trading strategy for Tuesday, September 24.
The trading strategy reflects Kinugasa's thinking and is not a guarantee of profit. Please understand that if you trade using this as a reference and incur losses, Kinugasa cannot offer any compensation before reading.
Also, the analysis is based on the Span Model and Super Bollinger.
Detailed explanations are in the articles below, so please take a look if you like.
Now, let's take a look right away!
Pound/Yen Strategy for Tuesday, September 24
Daily chart
First, the daily chart.
By the delayed span turning positive and buy signals lighting up, buying momentum is favoredin this stage.
However, since it is moving between BB +1σ and the Center Line,it seems more of a correction phase than a clear trend.I think it will likely drift a bit further downward before reversing.
Typically, the Span Model's cloud upper bound and the Center Line tend to push down...
so there is a possibility of a little more downside searchto be expected.
Personally, the key point is the Center Line value of 132.200.
If a rebound can be confirmed after a downward move to this level, I would prefer to enter long.
4-hour chart
Next, the 4-hour chart.
The delayed span has turned bearish and buy signals are on,the directional sense is unclear.
As written in yesterday's article, the 4-hour chart was range-bound, but yesterday it broke below the range.
First, I would like to see whether the immediate support at 133.900 turns into resistance.If it functions as resistance, this would be a scenario to go short.
For a short position, considering the recent range, the target could be 132.200. This value also coincides with the BB center line on the daily chart, so expect some downside up to around here.
Hourly chart
Hourly chart shows the delayed span bearish, sell signals on, so the bias is bearish.
Currently, price is moving near the center line and around the 133.900 area, which was recent support. First, observe the reaction around this area. If price cannot break above this, I would consider entering short.
Even if price breaks above here, there is a zone where the Span Model cloud upper bound and BB +2σ overlap, which could cause a rebound. If a resistance is confirmed in this region, I would also look to enter short.
So, here is today's strategy summary!
① The basic strategy is to go short.
② Look for selling timing on the hourly chart. If around 133.900 the upside stalls, or where the hourly Span Model cloud upper bound and BB +2σ coincide and upside stalls, go short.
③ Take profit targets: up to a maximum of 132.200. It may take some time to reach this level, so gradual profit-taking is OK.
④ After reaching 132.200, if price stabilizes the downside, consider going long again.
I think this strategy would work well.
By the way, there are scenarios where it does not short and price runs higher and higher...
In that case, since the subsequent price movement is hard to read, it's okay to just skip it for now.
That concludes today's pound/yen strategy!
