GBP/JPY Weekly Analysis (Wk Strt May/31/09)

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Hey Guys,

I won’t bother with the video analysis as we only have one new line and honestly it’s Sunday….. I want to relax.

These are all scalp lines therefore the target and stop for all of them is 50 pips.

1. Long @ 155.70 – average line

This line formed last week. Rather, this line sort of formed. It is not a proper scalp as it has no retrace. However, it is a yearly high so I will be trading.

I will trade this one with caution though as it has no retrace, therefore if the scalp line had not formed as a yearly high, I would not have intended to trade it.

2. Short @ 142.95 – strong line

This line formed the week before last, on the failed line break of the 143.30 and it is a pretty good line.

The price has moved quite a decent distance away from it so it has gained quite a bit of strength, in my eyes. Watch out though this area has proven to be very tough to break through. I will exercise extreme caution with this trade.

3. Short @ 139.00 – strong line

This is a very good line that formed a few weeks ago.

4. Other lines

Last week’s shorts are all still active but they are so far away, I will not include them in the analysis this week. If the price heads back down to that area please refer to last weeks analysis for those lines.

As usual, other lines are likely to form during the week, so keep an eye out. I will update the analysis if any new lines form.