22 Oct 2016
The week closed with a Doji in GBP/JPY
The emergence of a Southern doji pattern on the GBP/JPY weekly chart suggests a certain degree of exhaustion in this market.
ADX readings above 30 indicating a strong trend coupled with the RSI below 40% strengthen the argument a reversal from oversold territory is now likely.
Southern doji candles are considered bullish especially when formed during a declining leg. In any case it should be treated with caution as the pattern can often appear numerous times during a downtrend.
ADX readings above 30 indicating a strong trend coupled with the RSI below 40% strengthen the argument a reversal from oversold territory is now likely.
Southern doji candles are considered bullish especially when formed during a declining leg. In any case it should be treated with caution as the pattern can often appear numerous times during a downtrend.