GBPJPY ANALYSIS

 Good morning traders, I hope you're okay and doing well. Today I'm looking at GBPJPY where price dropped from a bearish BOS on H1 & H4 at 166.120 & 165.860 to 163.100, forming a minor bearish BOS on H4 at 165.140 & 164.700. Price rallied from the low at 163.100 back to the H4 BOS at 165.140 & 164.700. Price formed strong rejection wicks on H1 & H4, candle closes inside BOS followed by a slight drop. Took sell entries during pre-london session at 164.840 with SL at 165.240 (40 pips). Setup taken is a drop base drop, a continuation setup. I anticipate a continuation of the drop back to the low of 163.000 as my target.

 

Price rejected the BOS level forming wicks followed by a drop in price to 163.600 confirming the bearish sentiment, having my target at the next H1 low at 163.000. Price dropped 120 pips to 163.600 just near the H1 low, missing my 163.000 target by 60 pips, then rallied back to BOS later into the NY session.