GBP/JPY Price Forecast – Continues to Look Towards the Upside

The British pound has gone back and forth during the course of the trading session on Thursday as we continue to see a lot of noise in general. All things being equal, think that the market is likely to try to go much higher. All things look bullish over the longer term, and I do think that right now we are going to go back and forth and show signs of building up a bit so we could go above the ¥152.50 level.

GBP/JPY Video 19.03.21

The British pound of course is a little overextended against a lot of things, so I think that a little bit of sideways action or even a little bit of a pullback could be a good sign. I believe that the ¥150 level underneath would be a massive support level, so having said that I think that the market is certainly going to try to go towards the ¥155 level over the longer term, but the Japanese yen itself has been oversold right along with the British pound been overbought, so I think what we are seeing right now it does make quite a bit of sense.

You certainly cannot sell this market, at least not until we break down below the ¥145 level, which is something that we are nowhere near right now so as things continue going forward, I fully anticipate that with the “reopening trade” in full cycle, we will probably see this market expressing the “risk on” attitude that we are currently seeing around the world. All things being equal, this is a market that should go higher.

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