GBP/JPY Price Forecast – British Pound Trying To Break OutThe British pound has rallied a bit during the trading session on Monday to kick off the week, as we are approaching the ¥142 level. This is an area that should continue to be interesting, but if we break above it, this market is ready to take off.
The British pound is trying to break out during the trading session on Monday as we have had a positive market. At this point in time it’s likely that the ¥142 level being broken would be a sign that we are ready to go much higher. At this point in time, the market is likely to go looking towards the ¥145 level, which of course is a large, round, psychologically significant figure. Beyond that though, if you measure the flag that we are trying to break out of, the market is very likely to go looking towards the ¥149 level.
GBP/JPY Video 03.12.19
Pullbacks from here should have plenty of support, extending all the way down to the ¥139 level, with a special emphasis on the ¥140 level as it is a large, round, psychologically significant figure, and of course an area that will attract a lot of attention. All things being equal, this is a market that certainly looks as if it is going to break out, and it’s only a matter of when at this point. Expect a very impulsive move if this does in fact happen, as it will be a major break of resistance now that we are clearly above the 61.8% Fibonacci retracement level it makes sense that we go looking towards the 100% Fibonacci retracement level which matches up quite nicely with the measured move of the flag. It is not until we break down below the ¥135 level that I would consider selling.