We have recently seen some major breakouts in the markets. These kind of moves can offer some great trading opportunities after such long periods of range bound activity. The following charts of the GBP/USD and EUR/JPY have been in a trading range for a minimum 7 months or more depending on how you interpret things.
GBP/USD Daily Chart
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GBP/USD Weekly Chart
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This is a significant technical event and when witnessing these events it is important to take notice, this is a particularly bearish chart and well worth considering how you will deal with this situation and whether it fits within your trading plan. This situation can offer some very high risk to rewards and it is well worth consideration positioning yourself or at least looking for some low risk entry points to position yourself to be able to capitalize on the anticipated move.
EUR/JPY Weekly Chart
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A very similar view here with the EUR/JPY I currently have a position short on this pair and am anticipating a retrace back to the original breakout level and if it unfolds that way I will be looking to add to the current position.
Perry
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