GBP/JPY Price Forecast – British Pound Pulls Back Against Japanese Yen

The british pound has initially tried to rally during the trading session on Thursday but found enough resistance to turn around a break down towards the 200 day EMA. So far, the 200 day EMA has in fact offered support, so I think we are going to continue to see buyers on dips. It should also be noted that the ¥136 level is in this area, and therefore it makes sense that there would be buyers as well. I think there are buyers all the way down to the ¥135 level, so that is worth paying attention to as well.

GBP/JPY Video 24.07.20

Keep in mind that this pair is sensitive to the risk appetite of traders in general, so pay attention the stock markets and the like. If they rally, that should help this market as money flows away from the Japanese yen. To the upside, it is likely that we could go towards the ¥140 level, so at this point I think it is very likely to be a bullish market over the next several weeks. This does not mean that we go up every day, but I think the ¥135 level is essentially going to be the “floor” in the market, assuming that we even get down there. I do not know that we can break above the ¥140 level very quickly, but a move above there would signal a massive Ron much higher. Looking at this chart, expect a lot of choppiness but more of an upward move.

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