The British Pound Continues to Pressure Major Resistance Against Yen

British Pound vs Japanese Yen Technical Analysis

The British pound continues to threaten the ¥165 level, as the Monday session was very choppy and quiet. This makes quite a bit of sense, considering that most of the banks around the world were closed. That being said, the market will be paying close attention to the Japanese yen in general, as the Bank of Japan continues to fight higher interest rates. By doing so, the market is likely to continue to see the Japanese yen seen selling pressure. That being said, the market is a bit overstretched at this point and I think it could make a lot of sense to see this market pullback.

The ¥162.50 level should be supported, as it has been short-term resistance previously. By doing so, the market pulling back to that area should see a little bit of support and perhaps a little bit of an opportunity to get a little bit of value. All things being equal, this is a market that I think will eventually try to break out above the ¥165 level. If we were to break down below the ¥162.50 level, then it is possible that the market could go down to the ¥160 level.

The ¥160 level is an area that a lot of people will pay close attention to, not only due to the fact that it is a large, round, psychologically significant figure, but it is also where the 50 Day EMA currently sits. I have no interest in shorting this market anytime soon, I believe there is far too much momentum in this market to think that shorting is going to be possible anytime soon.

GBP/JPY Price Forecast Video 19.04.22

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