Yahoo Finance GBP/JPY Price Forecast – The British Pound Continues to Hang Around ¥160
British Pound vs Japanese Yen Technical Analysis
The British pound has gone back and forth during the day on Thursday as we continue to see a lot of interest in the ¥160 level. This is an area that was previous support, and now should offer a bit of resistance based upon “market memory.” Furthermore, we have the 50 Day EMA sitting just above there, and that could be reason enough for some technical traders to start shorting. However, I would also be very cognizant of the fact that we are in a bit of a triangle, so it’ll be interesting to see how this plays out. I believe that we are getting close to an explosive move, but we need some clarity.
Keep in mind that this pair is highly sensitive to risk appetite, and therefore you need to pay attention to other markets, as they could give you a bit of a “heads up” as to whether or not we are going to continue to see either a “risk-on” or a “risk-off” type of situation. If we do get risk appetite coming back into the market, then this pair should go higher.
Alternatively, if the markets look a bit concerned, then it would make quite a bit of sense that we would see this pair fall. I believe it probably falls from here, but obviously, we need the market to start moving to put money to work. Because of this, I’m simply going to wait to see if we can break down below the bottom of the daily candlestick, before I would short, just as we would have to break above the ¥161 level to start buying.
GBP/JPY Price Forecast Video 26.05.22
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This article was originally posted on FX Empire
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