GBP/JPY Price Forecast – British pound falls against Japanese yen on Tuesday

The British pound fell a bit during the trading session on Tuesday, testing a short-term uptrend line and the bottom of a couple of hammers from previous sessions. The market looks likely to continue to find buyers just below, especially around the ¥145 level. I think that the market should then go looking towards the ¥146 level, which has been important in the past. I think that the market will try to break above there, but it may take several attempts to do so. Once we do break above that level, I think that the market should then go to the ¥146.50 level after that.

If we do break down below the uptrend line marked on the chart, that would send this market lower, down to the ¥144.50 level which was the recent low. The 200 hour SMA on the chart looks to be very important from a technical standpoint, so expect some type of reaction to that moving average. You should also keep in mind that the market is very sensitive to risk appetite, so with that in mind it’s likely that we will continue to see noise based upon threats of trade tariffs, threats of future tariffs, and headlines coming from both China and the United States. It’s likely that the market will be noisy, so be cautious and make sure to keep your trading positions a bit smaller than usual as we navigate the turbulent waters.

GBP/JPY  Video 27.06.18