This situation in the GBPJPY market appears to be a clear illustration of a stop hunt and market imbalance:
1. The market is currently in a period of consolidation, trading within a horizontal range on a daily basis.
2. Earlier today, there was an attempt to break below the support level, and the market even traded below that level for a while.
3. However, what stands out is the emergence of a bullish engulfing candle, indicating an imbalance in the market.
4. This particular candle leads me to suspect that the preceding bearish movement might have been the result of market manipulation rather than genuine selling pressure.
5. Consequently, I anticipate an upward move in the GBPJPY market, with a target level of 182.3.
1. The market is currently in a period of consolidation, trading within a horizontal range on a daily basis.
2. Earlier today, there was an attempt to break below the support level, and the market even traded below that level for a while.
3. However, what stands out is the emergence of a bullish engulfing candle, indicating an imbalance in the market.
4. This particular candle leads me to suspect that the preceding bearish movement might have been the result of market manipulation rather than genuine selling pressure.
5. Consequently, I anticipate an upward move in the GBPJPY market, with a target level of 182.3.