GBP/JPY Price Forecast – The British Pound Recovers Quite Significantly

British Pound vs Japanese Yen Technical Analysis

The British pound has been quite volatile during the Friday trading session, which should not be overly surprising considering just how volatile this pair typically is. That being said, it is worth noting that the market has bounced from the same general vicinity, near the 162 level that has been important previously. At this point, we are now above the 50 Day EMA, so that’s a good sign as well. At that point, the ¥165 level above could possibly be the target, followed by the ¥168 level, which is the previous highs that the market could not overcome.

On the downside, the ¥160 level underneath is going to continue to cause buyers to jump into the market, and as long as we can stay above that level, I think the market is going to remain bullish for the longer term. It’s worth noting that the 200 Day EMA sits at the ¥158.50 level and is rising, so it does suggest that perhaps we have plenty of support underneath there as well. In general, keep in mind that this pair is paying close attention to the Bank of Japan and the fact that it is buying every bond it has to in order to keep interest rates down to 0.25% for the tenure.

However, it’s also sensitive to risk appetite, so you will need to keep an eye on that as well. This was proven during Asian trading with an assassination, as people immediately started buying the Japanese in. Nonetheless, I think this is a market that eventually finds buyers on dips.

GBP/JPY Price Forecast Video 11.07.22

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