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.

Free Trading Guides
EUR/USD
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
GBP/USD
Mixed
USD/JPY
Bearish
Gold
Bullish
Oil - US Crude
Bearish
Bitcoin
Bearish
More View more
Real Time News
  • RT @conorsen: @selling_theta @LJKawa https://t.co/vVfmLgHd9b
  • RT @iv_technicals: So you thought it was all contained, right?! Mhm. Cool stuff. https://t.co/PShm600IPS
  • RT @globaltimesnews: #Hubei Province reported 371 new cases of #WuhanCoronavirus and 24 new deaths on Jan 26 local time; total infection ca…
  • What is market volatility and what does a market event volatility look like? Find out from @PaulRobinsonFX here: https://t.co/vg7w10la3j https://t.co/QpD4VP4vDc
  • The last time the $USDJPY suffered this large of a bearish gap in a bearish slide (this one still nascent), was back in May: https://t.co/hTxfyVFiox
  • *Reminder: Weekly Strategy Webinar tomorrow morning at 8:30am EST on DailyFX! - https://t.co/RgnsklZ2Gl
  • Japanese Yen, US Dollar May Gap Higher as Week Starts on Virus Fears $USDJPY #USD #coronarovirus - https://www.dailyfx.com/forex/fundamental/daily_briefing/daily_pieces/asia_am_briefing/2020/01/26/Japanese-Yen-US-Dollar-May-Gap-Higher-as-Week-Starts-on-Virus-Fears.html?CHID=9&QPID=917702 https://t.co/RwVEF3rrO6
  • Here is my video to prep for the new trading week: "S&P 500 Tumble Threatens Quiet Bull Channel, #Fed and 4Q #GDP Top Event Risk" https://www.dailyfx.com/forex/video/daily_news_report/2020/01/25/SP-500-Tumble-Threatens-Quiet-Bull-Channel-Fed-and-4Q-GDP-Top-Event-Risk-.html?ref-author=Kicklighter?CHID=9&QPID=917719
  • RT @AFP: #BREAKING Five rockets hit near US embassy in Iraq capital: security source https://t.co/2Brj01kU3R
  • Everyone develops their trading style differently; however, these are two effective strategies for trading $XAUUSD that every trader ought to be aware of: https://t.co/UHmxPVEiQU https://t.co/XrOawSAdqd
GBP/JPY Faces Key Resistance - British Pound vs Japanese Yen Price Forecast

GBP/JPY Faces Key Resistance - British Pound vs Japanese Yen Price Forecast

2019-12-06 10:33:00
Mahmoud Alkudsi, Market Analyst
Share:

GBP/JPY Technical Analysis

See Our latest trading guides for free and discover what is likely to move the markets through Q4 of this year.

GBP/JPY- Bullish Development

On Oct 17, uptrend momentum led the price to multi-month high then paused after. This caused a sideways move for nearly three weeks. On Wednesday, buyers resumed bullish price action and yesterday, the pair rallied to 143.25 – its highest level in nearly seven months.

This week, the Relative Strength Index (RSI) rose from 60 to 70 emphasizing the strength of bullish momentum at this stage.

Having trouble with your trading strategy? Need a hand? Here’s the #1 Mistake That Traders Make

GBP/JPY Daily PRice CHART (Nov 20, 2017– DEC 6, 2019) Zoomed Out

GBPJPY price daily chart 06-12-19 Zoomed out

GBP/JPY Daily PRice CHART (April 23 – DEC 6, 2019) Zoomed In

GBPJPY price daily chart 06-12-19 Zoomed in

From the daily chart, we notice on Nov 28 GBP/JPY moved to a higher trading zone 140.62 - 143.09. Yesterday, the price rallied above the zone then closed below the high-end reflecting buyer’s reluctance to continue sending the price higher.

Today, buyers resumed exiting the market and this led the price to decline slightly. More taking profits operations could reverse the price’s direction towards the low end of the zone. A close below 140.50 could open the door for sellers to take charge and press towards 139.00. Although, the weekly support level and area marked on the chart should be considered as they offer an attractive exit points for sellers.

That said, any close above 143.19 could embolden more market’s participants to push towards the vicinity of 144.80-94. Nevertheless, the weekly resistance level underlined on the chart should be monitored.

GBP/JPY Four Hour PRice CHART (Oct 16 – DEC 6, 2019)

GBPJPY Four- Hour price chart 06-12-19

Looking at four-hour chart, we notice yesterday, the price tested above 143.20 however, closed below on the back of some buyers took profit.

A break below 142.00 handle could send GBPJPY towards 141.51. Although, the daily support level underscored on the chart should be watched closely. On the other hand, a break above 143.60 could resume bullish price action towards 144.13. In that scenario, buyers could face resistance at the level underlined on the chart should be kept in focus.

Join Me today DEC 6 at 14:00 GMT. In this session we will talk about most common directional and momentum indicators and how to use them

Written By: Mahmoud Alkudsi

Please feel free to contact me on Twitter: @Malkudsi

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

DISCLOSURES

News & Analysis at your fingertips.