Dragon Riders GBP/JPY

I have a short position but my target is at 134.00. Considering how bearish this pair is I might close it even lower.

long. price at 50 fib drawn on d1 rally

I wouldn't enter long while the market bias is heavily supporting short.
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Seems like the market is trying to reach 133.30 today. That's a big move after almost 1 week of consolidation.

Just my 2 cents . It doesn't cost much to wait till the price shows bullish PA. maybe a few pips we loose. But catching the falling dragon is very dangerous. Hope you have tight stops in place.

133.70 done. Extending my target to 130/129. Green pips.

Should it have been in a triangle D wave, the requirement was met with a break below the 50%, but not under 61.8. 132.9 should be the official drop down zone to the lower areas.

Edit .. and if wasn't a simple triangle as it appeared, it was possibly the end of a complex diamond shaped 4th wave correction that began with all the mess immediately after the drop on June 24th ish, maintaining a slightly rising central pivot that price fell below on Monday last week, having again tested it at 135.5/136.5.

That central pivot centres the much larger correction that tested first from the INSIDE at the time of the brexit upside spike, whilst 164 equated the top horizontal outside edge. The 118 area remains likely, but the correction/formation bottom side comes in at about 104. ( Coincidentally, that was a very old target about 5/6 years ago). All in all, the depth of any eventual fall MAY be influenced more by time of fall as opposed to distance.

Most readers won't understand a word of this and I don't intend to explain it. Should one 'play around' a fair bit, the parameters offered could help tell a story. Not just here, but in all significant moves going forward. And even basic old MT4 has the one important drawing tool that's required. But if you feel compelled to follow the pack and only view lower TFs, none of this will help too much.

133.30 reached. Next stop, 129.10. Have a wonderful weekend!

Good to see some movement from our cult dragon . She is gettng close October should see her fire up in fury hopefully . 300 - 500 pip average daily terror would be nice .

oh, she's a saucy flirt...huh!!!!!!

TP hit...congrats to those who follow..

[quote=Gbp/jpy;9145137]oh, she's a saucy flirt...huh?!!!![/
yes bro, like you know She needs the right timing ok, like a date you show the flower first

not to worry, am more than well capitalized. added another long at 61 fib before market closed

My hunch. Gap down. 130 could be breached. I would Sell in the rise

Call me crazy but I thought Gopher was headed to 141.73 (blue line) and went long at 133.66 a couple weeks ago. Friday smashed those hopes when she fell -221 pips and crossed my exit signal point (solid green horizontal) at 133.83

To be honest, it was my mistake not to have closed out already for a small 17 pips profit because I made the mistake of not raising my SL. Normally I would have done that and this trade would have been at least a small pip profit or nearly breakeven.

Anyways I raised my SL to just under the closing price (132.80) to get me out on Sunday's open so I can instead go short.

Now I believe GBPJPY is headed to a crazy new low. Yes that's right: 123.01 (blue line)... or even less. I think with the failure to swing higher and recover post-Brexit means Dragon has only one direction left. And that's significantly lower.

Friday's harsh downward move of -221 pips without any significant news* shows traders have lost faith in a pound recovery. I think this is only the beginning of a Dragon major move lower and will only intensify once EU talks for revitalization without U.K. conclude successfully. Any negative U.K. economic news is just going to hasten the move down.

Where's the upside? The U.K. isn't going to suddenly re-enter the EU, a re-vote is out, and Britain is highly unlikely to report improving economics with an economic Brexit looming. The BoE could vote to raise rates I suppose but is hesitant to kill any fledgling recovery. And don't get me started about the Bank of Japan's failing efforts to control the Yen....

On the second Heikin-Ashi chart I just want to point out that gbpjpy has formed the second fork (purples) of a classic Chuvashov fork. This means that while gpbjpy's downward trend post-Brexit vote has slowed significantly (of course) the downward trend is STILL ongoing!

I've reversed my positions and placed an order to short gbpjpy at 132.75 at market open with a ridiculously deep TP 123.01 and my SL 137.92 Since I'm not a crazy risk taker my R:R is a juicy 1.88 (that's 974 pips to 517)

*Did I miss some big news?

The reason of the fall was because investors were being pessimistic about how UK can hold out after Brexit. Post-Brexit HI news showed there was a slow down in UK economy, which might get worse in upcoming months. Once most, if not all, HI news prove the UK has shown solid recovery post-Brexit, the investors will be back to push GBP up North.

This is from what I've seen thus far. I'm not an expert in economy and politics so take my words with a grain of salt.

Trade carefully.

The actual reason of friday's fall was fear mongering. Due to the EU meeting EX UK.

This upcomingn week expect either sides to reaffirm the matter.

The reason is that markets are pricing in another rate cut in November as the odds of it happening are increasing. Shorts beware on WED. The US FED will NOT raise rates on the 21st. A boost to GBP/JPY as it follows risk appetite. The Bank of Japan is also going to announce a measure the same day. The attempt will be to steepen the yield curve and bring on a new wave of JPY selling. I say back up to 139 after WED at least before it falls again. Shorts will be burned.