FXEMPIRE
All
Ad
Corona Virus
Stay Safe, FollowGuidance
World
30,904,081Confirmed
959,568Deaths
22,505,207Recovered
Fetching Location Data…
Advertisement
Advertisement
Christopher Lewis

The British pound has gone back and forth during the trading session on Thursday as we await the election results. At this point, it’s very likely that the market will be waiting for some type of reaction to the election. Quite frankly, the Tory victory has already been priced in significantly so it would not be surprising at all to see this as a “sell on the news” type of event. That being said though, I think that the ¥140 level could offer a nice buying opportunity if we stabilize there. Otherwise, if we get a Labour Party victory it could break this pair down significantly.

GBP/JPY  Video 12.12.19

To the upside I believe that the ¥145 level is the next target, and then perhaps even the ¥149 level based upon the Fibonacci retracement studies. I like the idea of finding value on dips and continuing the overall move to the upside. Given enough time I also believe that the market probably will continue to see plenty of volatility after the election, but in the short term it seems as if we are simply killing time. We will be moving on the latest headline, so keep that in mind. It’s probably best to look for value on dips going forward assuming that the Tories win Parliament. If they don’t, look out below this market will probably continue to go much lower, perhaps reaching down towards the ¥135 level. With this, I remain bullish longer term but at this point I would like to see a better price.

Please let us know what you think in the comments below

Advertisement
Don't miss a thing!
Discover what's moving the markets. Sign up for a daily update delivered to your inbox

Latest Articles

See All

Expand Your Knowledge

See All

Trade With A Regulated Broker

  • Your capital is at risk