GBPUSD GBPJPY 12 Dec 2016

The 3 bar reversal indicator - see http://www.forexfactory.com/showthread.php?t=108544 for details - is based on price action and the close of a candle in relation to the two previous candle closes with a filter above/below stoch 50 level.

This morning after Franfurt open (yellow line) GU has a double bottom and GJ is on higher lows and the buy signals are about as good as you can get. After the London open (green line) both GU and GJ have lower highs and again sell signals about as good as one can expect to get.

The arrows refer to the prior closed candle.