ridethepig | Sell GBPJPYPound continues to be hijacked by politics in “election mode” with GBP trading higher on the Conservatives lead in weekend opinion polls. Overshooting the resistance here is cascading soft stops although momentum and sizes are not impressive and here I look to fade the highs and trade back to the inside during the election campaign and into the new Brexit deadline.
For the entry positioning method we are using the same strategy in GBPJPY as widely seen here:
The map from an Elliot perspective has been a very clear path forward in GBPJPY. Same flows we have been tracking since the beginning of the year:
The debate tomorrow between Johnson and Corbyn will trigger some profit taking from GBP bulls as we get ever close to the Brexit deadline. There has been a tremendous amount of conjecture around UK assets to date, it is important to remember the "fact" leg in Brexit (which is what will cause the economic damage via reduced market access) has yet to take place and markets are quick to forget.
In any case, thanks for keeping the likes and comments rolling, feel free to dive in with your charts or ideas on GBPJPY and open the conversation for all.
