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EUR/JPY 1 Hour Forex Chart
EUR/JPY 1 Hour Forex Chart

Forex volatility picked up big time for EUR/JPY on both a euro bounce and broad Japanese yen selling. With Japanese yen sentiment so weak, I’m only considering selling more yen at the moment, and a retest of the previous September high around 138.25 is very attractive.  This level is also the bottom of its weekly average true range, but I think the round number 138.00 is a more likely support area since volatility is much higher than the summer.

  • WO: 139.07
  • Top WATR: 139.91
  • Bottom WATR: 138.24
  • PWH: 139.16
  • PWL: 135.81


GBP/JPY 1 Hour Forex Chart
GBP/JPY 1 Hour Forex Chart

Much like EUR/JPY, Guppy rocketed to the stratosphere last week, moving about 500 pips from trough to peak!  With that kind of strong bullish sentiment it makes sense to look for long setups, which is why I’m looking at the area between the moving averages and bottom WATR level for a potential support area if there is a pullback.  But before I make a move, it might be a good idea to take it slow on Sterling pairs this week with the Scottish referendum vote coming up this Thursday.

  • WO: 174.41
  • Top WATR: 175.54
  • Bottom WATR: 173.29
  • PWH: 174.52
  • PWL: 169.34


EUR/GBP 1 Hour Forex Chart
EUR/GBP 1 Hour Forex Chart

Comparing the right side of the chart with the left, it’s plain to see volatility has picked up considerably in EUR/GBP as well, but maintaining its sideways price action.  I think that will continue, at least until we get to the Scottish referendum vote–at that point, who knows what will happen!

For now, I’ll be watching both the top and bottom of the range for some scalping and/or forex day trading reversal plays, especially the area between top WATR and PWH to play the long-term trend lower.

  • WO: .7995
  • Top WATR: .8038
  • Bottom WATR: .7952
  • PWH: .7980
  • PWL: .7913

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This content is strictly for informational purposes only and does not constitute as investment advice. Trading any financial market involves risk. Please read our Risk Disclosure to make sure you understand the risks involved.