GBP/JPY Price Forecast – British Pound Gets Hammered

British Pound vs Japanese Yen Technical Analysis

The British pound has gotten hammered against the Japanese yen during the trading session on Friday, as there is a sudden rush toward safety. The risk appetite across the market is abysmal at the moment, so it should not be a future price to see what has happened. Ultimately, I think this is a market that will continue to drop down to the ¥160 level where we face much bigger questions. As long as we can stay above the ¥160 level, then it’s possible that we can recover. If we do not, then it’s likely that we see a situation where the market then finds itself but just plunging lower and it’s been a complete trend change

On the upside, the ¥165 level should be an area of resistance that we will have to check out, as it is not only a large, round, psychologically significant figure, but it is also an area where we had recently seen a lot of effort. Because of this, I think we will continue to see a lot of chop, but ultimately I think we’ve got a situation where this is all about risk appetite at the moment, which is all but dead. The Bank of Japan working to buy every bond it can does have a negative effect on the Japanese yen, so that’s probably the one thing that could keep this pair floating.

Keep in mind that Monday is a holiday in North America, so a lack of liquidity could cause some headaches for traders, but at the end of the day this is a market that is typically volatile anyway, so it should be approached with caution.

GBP/JPY Price Forecast Video 04.07.22

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