GBP/JPY Price Forecast – British pound very noisy on Wednesday

The British pound went back and forth during the trading session on Wednesday, bouncing from the uptrend line underneath to turn around and reach towards the ¥145.33 level. It’s obvious that the market will continue to be very noisy in general as we worry about trade wars, but it seems to me that we are making a serious attempt to break down through the uptrend line that I have marked on the hourly chart. If we can get below that level, that I think that the market should continue to go towards the ¥144.50 level, perhaps even lower than that given enough time.

The alternate scenario of course is that we get some type of good news, and the market would bounce from there. At that point, it’s very likely that the market could go looking towards the ¥146 level. I believe that area is more of a resistance barrier than many of the minor ones between here and there, so I think it will take a significant amount of momentum to get above there.

Keep in mind that this pair is going to be extraordinarily volatile and of course hypersensitive to headlines and the situation between the United States and China. I believe that the market is probably going to get more bad news although we have seen a significant bounce due to Donald Trump suggesting that he was not keen to escalating the trade war to keep China from investing in technological companies in America.

GBP/JPY  Video 28.06.18