GBP/JPY - Fascinating Observations

Signal Provider High Rollers once again had an amazing week and has earned by almost 600 pips since adding him back on 1/27 without a single loosing trade. Even more amazing, he's done it without more than 100 pips drawdown on any given trade! This performance begs the question - how does he do it?

Well, as Yogi Berra said, "You can observe a lot by just watching." Looking at trade history, High Rollers came in and sold GBP/JPY on the past 4 Thursday mornings at about 11AM EST. This would correspond to about 4PM GMT, right about the time the UK-based traders are calling it a day - and before the Asia based traders are coming in. For me, that's just too much of a co-incidence.

I took at look at the charts, and for the past 3 Thursdays GBP/JPY topped out late in the morning on a Thursday. Maybe they have to square positions ahead of the weekend? Maybe its options positioning? Maybe its what time High Rollers gets home from work? Who knows, but it seems to work.

This chart shows the last 2 Thursday at 11AM. The prior Thursday 2/12 also had a similar pattern. Even more interesting is that provider No Drawdown has also sold GBP/JPY the last 4 Thursdays late in the day - although much later in the day than high rollers. Based on the action, there's a solid 12 hours of downside action after the Thursday top.

Let's watch for this coming week. If this works out, then we could make most of our money in the trading week between Thursday noon and Friday noon EST.