GBPJPY reaching a strong support

6 באוג׳ 2018

The price seems to have reached a strong support level and is not looking as if the price is going to move up from here. The price is currently moving within a bearish channel, the price is currently testing the support of the channel, this perfectly lines up with a strong support level (red). The price currently does not look like it has enough momentum to breakthrough these support levels. It looks much more likely that the price would move up from here. If this happens there is 2 things that can happen the price moves up from here and then tests the support. If the price has not got enough momentum the price would make its way back down and test this support level again, if the price has enough momentum there is a chance that the price would be able to breakthrough the resistance level of the channel. I believe the price is going to be going up over the coming days and this is confirmed by the oversold RSI value.