FX.co ★ ckerluke | GBP/JPY

When analyzing the 30-minute chart of the GBPJPY currency pair, I decide to open a short position. As the target level for profit, I choose 216.753, which corresponds to the lower boundary defined by the LRMA BB indicator. There is strong selling pressure in the market, which is forming a downtrend. As a result, the current price of 216.891 is below the moving average price of 217.173. If volatility increases and the price is able to break through the lower boundary at 216.753, I will close my short position and consider opening a long position, expecting a correction toward the middle of the range at 217.173. However, if there is a breakout of the middle level at 217.173, I will decide to switch to long positions and open a buy trade toward the upper level defined by the LRMA BB indicator at 217.592.