The British pound has fallen a bit during the course of the week to break down below the ¥150 level, an area that of course is a large, round, psychologically significant figure. That is an area that will attract a lot of attention and has offered support for a couple of different attempts at breaking down. That being said, the market is still overextended so I do think that eventually we need to either pull back there or simply kill time in order to get rid of the excess froth in the market.
GBP/JPY Video 19.04.21
If we do break down below the last couple of candlesticks, then it is likely that the British pound drops to the ¥145 level, but at that point I would anticipate seeing a lot of support as well. We are obviously in an uptrend so I do think that it is only a matter of time before we try to go higher, assuming that we can continue a “risk on” attitude. Otherwise, if we see some type of market shock or “risk off” type of move, then it is markedly negative for this market and then I think that what we are looking at is a situation where this is simply going to go back and forth with the idea of how the market is “feeling.”
Ultimately, the ¥153.50 level above being broken could open up the possibility of a move towards the ¥155 level. That of course is the next large, round, psychologically significant figure, and it will almost certainly cause a bit of profit-taking. I think it is a tempting target for the buyers, so will have to wait and see whether or not they can make that happen.
The British pound has gone back and forth during the trading session on Friday, reaching down towards the 50 day EMA before bouncing again. By turning around to form a hammer, it shows signs that we are in fact still very bullish. If you look at the structure of the chart, it will make a certain amount of sense that we would see buyers in this region, not only due to the fact that it is a large, round, psychologically significant figure, but it is also an area that looks structurally sound as well.
GBP/JPY Video 19.04.21
If we were to break above the ¥151 level, then the market is likely to go looking towards the ¥153.50 level. The market has been very choppy, and I would hesitate about jumping “all in” when it comes to this pair, because we have seen a lot of noise of the last couple of weeks. This is not to say that we cannot break out, just that we have a lot of “false starts” recently, so I would let the market prove itself before putting money to work.
On the other hand, if we were to break down below the 50 day EMA it could open up a move down to the ¥147.50 level, possibly even the ¥145 level after that. This is a market that is most certainly in an uptrend, but it had gotten far ahead of itself like several of the other markets that assumed the global economy was simply going to reopen and shoot straight up in the air. We have seen a lot of positivity but were a bit overdone.
The British pound has gone back and forth around the ¥150 level for several sessions in a row, and it now looks as if we are likely to see a hovering of the pair right around this range. Underneath, the 50 day EMA is reaching towards the ¥149 level, so I think there is a zone of support that should come into play. The 50 day EMA of course is a technical indicator that a lot of people pay attention to, so if we were to break down below there, it is likely that the market goes looking towards the ¥145 level.
GBP/JPY Video 16.04.21
To the upside, the ¥153 level has been tested previously, and if we break out above the recent consolidation area, then it is likely that we could go higher. Ultimately, this is a market that I think is trying to figure out where we are going to far as risk appetite is concerned, and quite frankly this market has been overdone for a while, and now it looks as if we are chopping back and forth in order to either build up some type of momentum and stability in order to go long. At this point in time, markets will continue to be noisy and therefore I think you will have to be very cautious about jumping “all in”, but over the longer term we are still in an uptrend until we break down below the ¥145 level. All things been equal, I think that you need to see an impulsive candlestick in order to get involved. Over the last week or so, we have simply been “chopping wood” and killing time.
The British pound has initially tried to rally during the trading session on Wednesday but gave back the gains after we crossed above the psychologically important ¥150 level. This is an area that I believe will continue to be important, but I will admit that the most recent price action has not been overly impressive. While anticipating a pullback after a couple of moves higher is not a huge stretch of the imagination, the reality is that we have seen attempts to rally this market for days in a row, all of which have been beaten back rather severely.
GBP/JPY Video 15.04.21
I do not necessarily think that we are going to see some type of massive meltdown, but we are clearly not ready to take off to the upside. If we break down below the 50 day EMA, then we could see this pair drop down to the ¥145 level. While that may sound a bit drastic, the reality is that it would not be that out of the question, considering just how parabolic the pair had gotten. It would represent a nice pullback but not necessarily some type of trend change. In that scenario, I think a lot of longer-term traders would be very interested in this pair at the ¥145 level.
On the other hand, we could break above the highs of the last several sessions, opening up the gateway to the ¥152.50 level. From a longer-term perspective, this makes more sense, but it is worth noting that the momentum has certainly slowed in this pair, which is quite often what you see right before some type of corrective phase.
The British pound has gone back and forth during the course of the trading session on Tuesday as we continue to sit around the ¥150 level. The ¥150 level is of course an area that will attract a lot of attention due to the round figure, and of course the fact that the 50 day EMA is reaching towards that area. If we can break above the highs of the last couple of sessions, it is very likely that we will continue the overall uptrend, perhaps reaching towards the ¥153.50 level.
GBP/JPY Video 14.04.21
On the other hand, if we turn around and break down below the previous lows, then the market would break down below the 50 day EMA, perhaps opening up a move down to the ¥145 level. At that area, we would probably be looking at the 200 day EMA intercepting price, allowing for a potential bounce. At this point in time, I do believe that the market is going to continue to be very choppy, and of course held hostage to risk appetite. As risk appetite rises, money typically flows away from Japan, and therefore it could lift this market.
To the upside, if we were to break above the ¥153.50 level, it is likely that we could go looking towards the ¥155 level, which of course is the next large, round, psychologically significant figure. All things being equal, we are in an uptrend so that something that you should keep in mind, and therefore I am not looking for a selling opportunity, at least not anytime soon, but I will let you know here at FX Empire if I start to change my attitude.
The British pound has pulled back towards the ¥150 level during the trading session on Monday but found buyers near the ¥150 level again to get things going. At this point, the market is likely to continue to see buyers jumping in to push this market higher. After all, this is more of a “risk on” type of situation, especially considering that earnings season is starting in America this week, and that tends to push a lot of people into risk assets. If that is going to be the case, that will also help this pair, driving money away from the Japanese yen.
GBP/JPY Video 13.04.21
Underneath, we have the 50 day EMA that offers support as well, and obviously we are in an uptrend longer term. Looking at this market, we have been chopping around in this area, but I do think that it is probably only a matter of time before we try to reach the highs again, especially as the ¥150 level offers so much in the way of psychological support. At this point, I would not be surprised at all to see this market trying to make another high, but obviously we need a lot of “risk on behavior” around the world to drive this pair higher. Nonetheless, this is a market that clearly cannot be shorted anytime soon so I do like the idea of going long at this point.
If we were to break down below the 50 day EMA, then I think we will probably “reset” somewhere near the ¥145 level where we had seen a major breakout previously as well. Going forward, the British pound is highly undervalued, and therefore I think longer-term traders looking to hold on.
The British pound has fallen during most of the week but has also corrected its losses at the ¥150 level, an area that should continue to be important. The candlestick is a bit negative, but we did see buyers step in on Friday to see this bounce occur. At this point though, the question is whether or not we need to see a larger pullback to find buyers.
GBP/JPY Video 12.04.21
The market has gotten a bit ahead of itself, but the Japanese yen been oversold has been a condition that we have seen for several months. It is not as if the trend is going to suddenly end, just that it needs some type of correction or at the very least it needs to go sideways to work off all of this insane froth. Nonetheless, you cannot be a seller, at least not anytime soon but you could make the argument that breaking below the hammer from a couple of weeks ago could open up a move down to the ¥145 level.
That is an area that I would expect to see some psychological support, but clearly the path of least resistance is to the upside, so you should keep that in mind when trying to trade this pair. After all, the Japanese yen has been pummeled against most currencies, not just the British pound. That being said, if the GBP/USD pair starts to recover, that could really put upward pressure on this pair as well, because it would then give yet another reason for this market to rally, not just based upon a week Japanese yen.
The British pound has rallied again against the Japanese yen during the trading session on Friday to recover and solidify the ¥150 level as a potential floor. At this point, it looks very much like the market is going to continue to try to grind higher against the yen, continuing the overall bullish sentiment that we have seen for some time. With that being the case, I think it is only a matter of time before we go reaching towards the highs and perhaps even further than that.
GBP/JPY Video 12.04.21
Recently, the British pound had been sold off against several other currencies, as it had taken a bit of a breather. It does look to me like we are going to see a relatively significant turnaround at this point, as the move has been so sharp. With that being the case, I believe that the target is probably ¥153.50, which would then open up the possibility of a move to the ¥155 level.
Underneath, not only do we have the ¥150 level offering a bit of psychological support, but we also have the 50 day EMA coming into the picture which of course is a bullish sign as well. With all this being said, as long as we get more of a “risk on” type of attitude, that will probably propel this market higher. Pay close attention to the 50 day EMA, it has been rather supportive and crucial lately, so now it appears that the correction may be winding down and the overall trend can continue from here. I have no interest in selling this pair, at least not until we break down below the ¥145 level.
The British pound has fallen again during the trading session on Thursday again, to reach down towards the ¥150 level. This is the third day in a row we have seen significant selling, but quite frankly we are still very much in a huge uptrend, so this pullback should be welcomed by those looking to find a certain amount of value in a market that had run far too hot.
GBP/JPY Video 09.04.21
The 50 day EMA sits underneath and is starting to reach towards the ¥150 level as well, so I do think that sooner rather than later we will see buyers come back into the market. However, if we were to break down below the ¥148.50 level, that could kick off a bigger correction, perhaps reaching down towards the ¥145 level. That will obviously attract a lot of attention just as the ¥150 level will, so I think somewhere in that area would be the “floor in the market.” After all, the 200 day EMA is starting to approach that level so it is probably only a matter of time before buyers would come back. If the ¥145 level gets broken to the downside that could be the end of the overall uptrend, sending this market crashing much lower.
Keep in mind that the pair is highly sensitive to risk appetite, so that is worth paying close attention to. If the rest of the world is happy, generally this pair will rally, but if we are seeing stock markets take beating, as generally negative for this pair as money will flow back towards the Japanese yen. It is worth noting that the Japanese yen has been oversold for a while, so this correction is being seen against all Japanese yen pairs.
The British pound has gone back and forth during the course of the trading session on Wednesday, trying to stabilize after the significant selloff that we had seen during the previous session. The market is still very much in a bullish trend, but one would think that the massive selloff that we had seen the previous day is probably not a “one-off event”, because they typically are not.
GBP/JPY Video 08.04.21
Looking at this chart, the ¥150 level underneath makes quite a bit of sense as support, so if we do continue to drift lower, I will be looking for a buying opportunity in that general vicinity. That of course would be an area that a lot of psychology will come into play, and of course the fact that the 50 day EMA is trying to get to that area probably helps as well. When you look at the chart, you can see clearly that the 50 day EMA has been influential for some time.
To the upside, the ¥153.50 level is an area of resistance, but there is nothing special about that area from a longer-term perspective. Because of this, I do think that the market will be able to slice through there without too many major issues, although that does not mean that we sliced through it immediately. At this juncture, I think that will be thought of more or less as a target than anything else, so I believe the buyers will be gunning for that level. Longer-term, I think that they would probably be looking towards the ¥155 level as the British pound has been so strong.
The British pound initially tried to rally during the trading session on Tuesday but then gave back the gains to reach towards the ¥152.50 level. That is an area where we had recently seen a resistance level, so it should now be a support level. That being said, the market has gotten a little bit ahead of itself and therefore I think part of what we are seeing here is simple profit-taking.
GBP/JPY Video 07.04.21
The ¥150 level is a large, round, psychologically significant figure, and an area that I think will attract a lot of attention anyway. Furthermore, the 50 day EMA is starting to reach slightly above ¥148.50, an area that previously had been supported as well. That being said, the market is likely to continue to see buyers on these dips, but in the short term it certainly looks as if we should pull back slightly. Keep in mind that this pair is highly sensitive to risk appetite, so it is most certainly something worth paying attention to as the markets may have an influence to where we go next.
That being said, I still believe that the market is ready to go higher, and I have no interest in shorting this market anytime soon. The ¥145 level would be a “floor the market”, so if we were to break down below there then the market is likely to enter some type of downtrend. Ultimately, I do not think that happens, but I would of course have to pay close attention to a change in the overall attitude if we were to cross that line. At this point, it is a simple matter of waiting to find value that we can take advantage of.
The British pound has gone back and forth during the trading session again on Monday as traders came back to work. That being said, the European session was thin due to the fact that it was Easter Monday, but at the end of the day the Americans came back to work and this of course means that we can get back to trading. At this point, the market is likely to see a lot of volatility, but at the end of the day if we do pull back, I think what we start looking for is buying opportunities.
GBP/JPY Video 06.04.21
The ¥150 level underneath should be supportive and should also pay close attention to the 50 day EMA which sits underneath near the ¥148 level. The market is clearly in an uptrend and therefore all I will be doing is buying. We may need to pull back a little bit in order to find value, but at the end of the day I do think that there will be plenty of people out there getting involved to try to take advantage of what has been such a huge move to the upside.
On the other hand, if we were to break down below the 50 day EMA, then I think the market probably has much deeper to go as far as the correction is concerned, but really at this point I am not sure exactly when the downtrend would continue, so I would have to take any selling opportunity as they come. Currently, I am not looking for one.
The British pound has rallied significantly during the course of the trading week to reach towards the ¥153 level. That being said, it looks as if we are trying to build up enough momentum to continue going higher. However, we have recently just seen a little bit of a pullback and therefore I think it is likely that we need a little bit more in the way of a pullback in order to continue the overall shot higher. That being said, I certainly would not be a seller of this pair, and I think that pullbacks should be looked at as a welcome turn of events.
GBP/JPY Video 05.04.21
To the downside, the market is likely to see the ¥150 level underneath as a support level, and I would not be surprised to see a pullback towards that area before breaking out. However, we could just simply break above the ¥155 level, which would open up the possibility of going much higher. That being said, I think that either way you have to look at this through the prism of going long and never shorting it. At least not anytime soon. If we were to break down below the hammer from the previous week, that could open up the possibility of a move down to the ¥145 level.
Looking at this chart, I think the one thing that you can probably anticipate is plenty of buyers are willing to get involved in this market if they get the opportunity at a better price. The size of the candlestick is of course very impressive, so that tells me there are plenty of bullish traders out there still.
The British pound has gone back and forth against the Japanese yen at elevated levels during the trading session on Friday, as the jobs number in America came out, and of course the Good Friday holiday would be plenty of reasons why the market would be very quiet. We are extraordinarily elevated, so I do think that we will get a pullback sooner or later but quite frankly the Japanese yen has been everybody’s favorite punching bag for a while, so it is not a huge surprise that we continue to see the ¥153 level be challenged.
GBP/JPY Video 05.04.21
To the downside, the ¥150 level should be a significant support level, but quite frankly I do not even think that we get down to that level before we turn around. That being said, if we did break down below the most recent low, the market probably goes down to the ¥145 level. In general, I think this is a situation where you are looking for dips to get long, because chasing the trade all the way appear could be a little bit dangerous. Yes, we recently had a pullback, but it was not very deep, and that does make me a bit cautious.
Nonetheless, this is a one-way trade at the moment, so if you are involved it has to be to the upside. The candlestick for the trading session on Friday was neutral, and I think that is fair considering that most people simply will not be involved in the market. As we get into next week, it will be interesting to see if we have a move right away.
The British pound went back and forth during the course of the trading session on Thursday as we continue to see strength overall coming from the Pound, and against the Japanese yen which has been beaten down so severely, it should not surprise anyone that we continue to see elevated prices. We are currently hanging around the ¥152.50 level, an area that I suggested could be resistance. At this point, we need to build up the necessary momentum to finally break through there.
GBP/JPY Video 02.04.21
Pullbacks at this point in time should be thought of as potential buying opportunities, because quite frankly this is a market that has essentially been on fire. With that being the case, it is very likely that value hunters will return to this market and it is quite possible that the ¥150 level underneath is a floor now, so I think that if we do get a little bit of a pullback, a lot of traders will be willing to come in and pick this up. The 50 day EMA is also reaching towards that area, so I believe it is only a matter of time before we would see a certain amount of aggression in that area.
If we were to break down below the 50 day EMA, then it is possible that we could go down to the ¥145 level, where I think it would be another argument just waiting to happen. Looking at this market through the longer-term aspect, I do believe that we are eventually going to reach towards the ¥155 level, it is just a matter of trying to build up the necessary momentum to get there.
The British pound has rallied again during the trading session on Wednesday to reach towards the highs. The ¥152.50 level was an area that I had been talking about previously as a potential target, and we have pulled back from there recently. Now that we have pulled back from there, and turned around to retest that area, I suspect that we are eventually going to take off to the upside. Because of this, I am a buyer and not a seller and I do think that at this point time we are probably taking a look at the ¥155 level as a target.
GBP/JPY Video 01.04.21
With all of that being said, I think that dips continue to be buying opportunities and it is probably only a matter of time before we go much further to the upside. After all, from a historical standpoint this is a pair that is typically much higher than where we are right now. The British pound continues to be resilient overall, so I think that is worth paying attention to.
The USD/JPY pair is a great way to measure the strength or weakness of the Japanese yen, and that has gone straight up in the air so obviously we have a lot of weakness in the yen itself, so it all adds up to this pair going higher over the longer term. We have had a nice pullback, and now we are breaking out to a fresh, new high. Even if we do pull back from here, I anticipate that the ¥150 level will be massive support based upon the recent action in this market and of course other yen related pairs.
The British pound has rallied a bit during the trading session on Tuesday to reach towards the ¥152.50 level again, which was the most recent high. At this point, the market looks as if it is trying to break out to the upside, but whether or not we right away might be a different question. Nonetheless, I think one of the biggest drivers of this pair is not necessarily the British pound, rather it is the fact that the Japanese yen is getting absolutely hammered by the US dollar.
GBP/JPY Video 31.03.21
To the downside, the ¥150 level underneath is going to be an area where we should see a certain amount of interest, and as a result I think that it could very well be an area of support. However, if we break down below there then it is likely that we go looking towards the ¥149 level again. The 50 day EMA is racing towards that area as well, so I do think that this market as well supported.
On the other hand, if we break out to fresh, new highs then it opens up the possibility of reaching towards the ¥155 level. The ¥155 level of course is an area that would be a target based upon the fact that the market likes these large numbers and when you look in the past, the ¥155 level is an area where we have seen a lot of movement in the past. Nonetheless, this is a market that has been very bullish and therefore I have no interest whatsoever in trying to short it. In fact, it is not until we break down below the ¥145 level that I would be concerned about this overall uptrend.
Keep in mind that the market is highly levered to risk appetite so therefore it is worth paying attention to what is going on and that the stock markets around the world, but right now it seems to be that the Japanese yen getting crushed due to the yields dropping is a bigger driver at the moment. All things being equal, this is a very volatile market that has more of an upward sign than anything else. All things being equal, I think that this market has much further to go but we may have some noise in the short term to deal with.
The British pound initially pulled back during the open on Monday, reaching as low as ¥150.50 before turning around. We have turned around to form a massive hammer, and it suggests that we are going to try to break out to the upside and that the resiliency may continue to be seen. The ¥150 level underneath is a large, round, psychologically significant figure that has offered during the session, and I think that this is a market that you clearly cannot be a seller of.
GBP/JPY Video 30.03.21
The most likely of outcomes will be either that we go sideways for a while in order to work off all of the froth after the shot straight up in the air. On the other hand, we could break out above the highs and continue going towards the ¥155 level. The market could of course break down, but I really do not see that happening anytime soon. The pair of course is highly sensitive to risk appetite in general, and also there has been a lot of attention paid to the British pound in general due to the fact that the UK has gotten ahead of so many of its peers with the vaccination program, and of course Brexit has not been quite the wrecking ball that so many people had been warning about. Regardless, this is an uptrend and there is no reason to try to short this market as it has been so bullish. This does not mean that it will be easy to go to the upside, but quite frankly I do not see any other alternative than buying.
The British pound initially pulled back during the course of the week, slicing below the ¥150 level. However, we have seen a lot of bullish pressure jumping back into the market, and we have skyrocketed to break above the ¥151 level. At this point, this is a market that looks like it has no interest in slowing down, but I do believe that it is likely that we will continue to go sideways in the short term, to work off the massive amount of froth that has worked itself into this parabolic move.
GBP/JPY Video 29.03.21
It should be noted that the Japanese yen is getting crushed against almost everything right now, mainly due to the fact that the yields in Japan are so much lower than many other places, so therefore you have to keep an eye on bond markets worldwide. With this being the case, I think that the pair does eventually go higher, but momentum of course is something that you need to pay close attention to. The market is a bit overdone and that is really the only thing that I have against this pair right now. It is obviously going to be bullish going forward, so that pullbacks will be thought of as potential buying opportunities.
Quite frankly, I would love to see this market reached down towards the ¥145 level, but I think that is less likely to happen unless we get some type of major shock to the system as the pair is so highly sensitive to risk appetite.