GBP/JPY Price Forecast – British Pound Bounces From Support

British Pound vs Japanese Yen Technical Analysis

The British pound rallied significantly against the Japanese yen, as the ¥160 level has offered support yet again. Ultimately, this is a market that I think will continue to see a lot of noisy behavior, but certainly will favor the upside in general. After all, this market has been very noisy for a while, but it also has seen a lot of Japanese Yen weakness in general. Ultimately, this is a pair that I do think is higher given enough time, but it also is going to be a situation where we have a lot of volatility due to the Bank of Japan stepping in and buying unlimited bonds. With that being the case, is very likely that we will continue to see upward pressure more than anything else.

The market will continue to look at the ¥160 level as being important, but if we break down below there, I think we could see momentum pickup. In that scenario, you could be looking at a move down to the ¥157.50 level rather quickly. After that, then you’re talking about a possible move down to the ¥155 level. Regardless, I think this is a market that will continue to be very noisy, and of course move based upon risk appetite as per usual.

On the upside, see the ¥165 level as a major resistance barrier. If we can break above there, then it’s likely that we could try to take out the time, but there is a lot of noisy behavior all the way to the ¥166 level, so I think that is going to be a very difficult to get above the area.

GBP/JPY Price Forecast Video for 13.10.22

For a look at all of today’s economic events, check out our economic calendar.