GBP/JPY Forecast October 16, 2017, Technical Analysis

The GBP/JPY pair went sideways during the trading session on Friday, as we continue to hang about the 149 level. Ultimately, the volatility that we have seen during the day shows just how unstable this pair can be, with the 150-level looking likely as a target. I think if we can break out above there, then the market continues to go much higher. Ultimately, the 150 level is a major round number, and that of course will attract a lot of attention. By breaking above there, that would be an extraordinarily bullish sign in a market that would be ready to go much higher.

In the meantime, it’s likely that we will continue to see a lot of chop, and if we break down below the bottom of the range for the day on Friday, the market should then go down to the 147.50 level. The market found a lot of support there during the Thursday session, and now that we have bounce from there, it’s likely that we will continue to see value hunters underneath. Keep in mind that this market is very sensitive the risk appetite, so pay attention the stock markets, if they continue to strengthen, it’s likely that this market will continue to see buyers. Ultimately, this market does tend to be rather difficult to hang onto, so perhaps building a position over the longer term might be the best way. Slow and steady wins the race in the GBP/JPY, as the market can go against you in the flash of an eye. Over the next 24 hours, I believe that pullbacks will appear, but they also should give us an opportunity to pick up short-term profits in your trading account. If we can break above the 150 level, the market should continue the bullishness.

GBP/JPY  Video 16.10.17