News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
More View more
GBP/JPY Technical Analysis: Yen Recovery Hinted Ahead

GBP/JPY Technical Analysis: Yen Recovery Hinted Ahead

Ilya Spivak, Head Strategist, APAC

To receive Ilya's analysis directly via email, please SIGN UP HERE

Talking Points:

  • GBP/JPY Technical Strategy: Flat
  • Support: 173.87, 173.39, 172.61
  • Resistance: 175.00, 175.62, 176.25

The British Pound could be topping against the Japanese Yen after producing a Bearish Engulfing candlestick pattern. Near-term support is at 173.87, the 14.6% Fibonacci retracement, with a break below that on a daily closing basis exposing the 23.6% level at 173.39. Alternatively, a reversal above the 174.64-175.00 area marked by the 38.2% Fib expansion and the September 12 high opens the door for a test of the 175.35-62 zone bracketed by the July 3 top and the 50% threshold.

The looming Scottish Independence referendum injects an uncomfortable degree of uncertainty into the outlook, arguing taking long or short positions on the Pound for the time being. With that in mind, we will opt to stand aside.

Add these technical levels directly to your charts with our Support/Resistance Wizard app!

GBP/JPY Technical Analysis: Yen Recovery Hinted Ahead

Daily Chart - Created Using FXCM Marketscope 2.0

--- Written by Ilya Spivak, Currency Strategist for DailyFX.com

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES