Bulls never came back even with central bankers adding more points to interest rate hikes. It is as if rate hiking has become a disappointment rather than a reason to greed.
This morning, the Asian Session digested the negativity and pressed price down surpassing 160.00. This has somehow reinforced the bearishness in the dailies that signaled a lower high lower low pattern.
However, even when main bias is to short, we always have to consider the placement of the short. Shorting at current 160.30 posts a higher degree of risk than shorting at 160.80 or 161.50. There is plenty of time to wait for a good bargain to short.
On the other hand, the immediate bias is to go long between 159.75 to 160.30 with an expectation of correction of the immediate bearish leg.
In any case, it’s always best to wait for a nice 3-hour compression at the very least before attempting to trade.
GBPJPY, 2023-03-24, Asian Session by traderh on TradingView.com