GBPJPY--short

I shorted at 144.72 this morning and have just taken partial profits at +64 pips. The main reason for shorting is that the pair started to stumble at prior resistance but in addition there is still downward sentiment on the pound. The pair has also broken below a short-term uptrend line along with RSI doing the same.

The pair has so far reached a low of 143.98 but this is support and a round number so what it does here will hint at the remainder of the day. Additional support is at 143.14, 14221/17, and 141.60. Resistance is at 144.92, 145.29 and 145.98.

Here's the one-hour chart:












© Dianne Fecteau, 2010. No part of this material may be reproduced in any form, or referred to in any other publication, without the express written permission of the author.

My purpose in writing this blog is to show you how one trader, me, makes trading decisions and survives while trading Forex. One of the biggest problems I had when I first started trading was trying to apply the “rules” to actual trades. Another was the psychology—limiting losses and letting profits run. If you study my blog, you’ll see how I deal with both those issues. So my writings are not trade recommendations but rather educational in purpose. You have to decide on your own approach to trading. Remember that trading is risky.