GBP/JPY Weekly Price Forecast – British Pound Continues to Rally Against Yen

The British pound has initially pulled back a bit during the course of the week but then turned around a break above the ¥153 level. That being the case, it looks as if the market is going to try to continue to grind higher, but keep in mind that this pair is highly sensitive to the risk appetite of markets around the world, so pay close attention to how stock markets behave, as well as other things along the lines of commodities. That being said, the British pound of course is considered to be a currency that people buying good times, while the Japanese yen is considered to be a massive safety currency.

GBP/JPY Video 02.08.21

If we can break above the top of this weekly candlestick, then it is likely we go looking towards the ¥155 level, which was the most recent high. It is also an area where we see a significant amount of resistance at over the months and years pass. On the other hand, if we pull back from here we could go looking towards the ¥150 level, which I think would be massive support and thereby breaking down below the candlestick from the previous week which was the hammer would open up massive selling, perhaps reaching down to the ¥145 level, maybe even as low as the ¥140 level, as I believe that a break down below the hammer from the previous week would of course represent some type of shock to the system and therefore I think the reaction could be rather nasty as it would be a safety trade all across-the-board in my estimation.

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GBP/JPY Price Forecast – British Pound Continues to Press Resistance Barrier

The British pound has rallied a bit during the course of the trading session on Friday, as we continue to try to get towards the top of the shooting star from Thursday. The shooting star from Thursday of course shows a lot of resistance, and at this point in time we need to break above it in order for the buyers takeover. Keep in mind that the markets are highly sensitive to risk appetite in general, so keep in mind that the Japanese yen is still thought of as a “safety currency.”

GBP/JPY Video 02.08.21

If we break down below the ¥152.50 level, it is likely that we could reach a little bit lower, perhaps heading towards the ¥150 level over the longer term. If we get down there, then obviously it will be a major negative move and probably would follow right along with other risky assets so it should be a move that a lot of people will notice right away. On the other hand, if we do continue to see more upward pressure, then it is likely that we will see a lot of risk being taken in multiple markets, especially in places like indices, as well as some of the highflying currency pairs.

Pay attention to the British pound against the US dollar, because it can give you an idea as to where the British pound goes against almost everything, including the Japanese yen. All things being equal, we are facing a significant barrier above, so breaking through it of course opens up a pretty big move.

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GBP/JPY Price Forecast – British Pound Continues to March Higher

The British pound has continued to go higher, reaching towards the ¥153 level. At this point in time, the market is likely to continue seeing buyers on pullbacks, and it certainly looks at this point in time as if we are going to try to get towards the ¥155 level. This is an area that has been a significant amount of resistance in the past, therefore it is likely that we will continue to see that area matter yet again. If we can break above there, then we are more than likely going to see this market go looking even higher, perhaps towards the ¥157.50 level.

GBP/JPY Video 30.07.21

To the downside, the ¥152.50 level would be the initial support level, but if we break down below there then it is likely that we could go looking towards the ¥150 level. All things been equal, this is a market that continues to be very noisy, but also it is very sensitive to the overall risk appetite around the world, and therefore it rallies when people are feeling good about the trading environment, and then falls when they are a bit concerned.

All things been equal, does look like we are trying to pick up the uptrend again, but we still have not necessarily made a “higher high” quite yet as I record this. With this, I think we will continue to see a lot of noisy behavior, so you should be cautious about putting too much money to work right away. The pair does tend to get while the times, but one thing that I would look at is the fact that we have seen multiple green days in a row so we might be getting close to pulling back a bit.

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GBP/JPY Price Forecast – British Pound Continues to Break Higher

The British pound has rallied a bit during the course of the trading session on Wednesday to break above the crucial ¥152.50 level, an area that has been important more than once. That being said, I think that the market has a lot of noise just above that could come into the picture, so I would anticipate more choppy behavior, and the occasional pullback makes quite a bit of sense. If we break down below the hammer from the trading session on Tuesday, then it is possible that we roll over and go looking towards the ¥150 level.

GBP/JPY Video 29.07.21

Looking at this chart, you should also keep in mind that it has a lot to do with risk appetite, so keep that in mind. It tends to rise right along with that risk appetite and fall if it struggles. I think the next couple of days could be crucial for risk appetite in general, so that of course will have a huge influence on where we go next. All things been equal, we are essentially in the middle of the larger consolidation area, and that means that we could go either way at this point. Nonetheless, it should be noted that the British pound has recovered quite nicely from the previous selloff, so it will be interesting to see how this plays out.

As we continue to go through the quiet part of the summer, it is likely that we stay within the range of ¥150 underneath and ¥155 above. With that being the case, I think we are looking at a scenario where we just do not really have longer-term directionality right now.

For a look at all of today’s economic events, check out our economic calendar.

GBP/JPY Price Forecast – British Pound Pulls Back From Familiar Level

The British pound has pulled back from the ¥152.50 level, an area that has been important a couple of times in the past, so it should not be a huge surprise that we have seen this area as important more than once in the past. That being the case, the market is likely to continue seeing a little bit of hesitation in this area. That being said, we have seen a little bit of a recovery at the ¥152 level, so I think the ¥152 level will be crucial for the next move. If we break down below there, then it is likely that we continue to drop towards the ¥150 level.

GBP/JPY Video 28.07.21

I do think that this pair is going to be very difficult to get involved with, as it is a very sensitive market when it comes to risk appetite in general, which is very fluid at the moment as there are multiple arguments both for and against growth going forward. That being the case, the market is likely to continue seeing a lot of choppy behavior, and at this point you have to keep in mind that if we cannot break above the ¥152.50 level, then it will be a “lower high”, and that could open up quite a bit of negativity.

Nonetheless, the markets are very skittish and with the Federal Reserve coming out late on Wednesday with its assessment of the world, it will be interesting to see if that has an effect throughout the markets and by extension this pair as a reaction.

For a look at all of today’s economic events, check out our economic calendar.

GBP/JPY Price Forecast – British Pound Continues to Recover Against Yen

The British pound initially fell during the trading session on Monday but has seen buyers come back into the market to push things back up. This is a sign of “risk on behavior”, and it looks as if the market is going to go towards the ¥152.50 level, an area that has been important more than once. That being said, we have recently seen a massive amount of selling pressure, so I think that it is going to be difficult to continue going higher. Rick above the ¥152.50 level, then it is possible that we could break out towards the ¥153 level.

GBP/JPY Video 27.07.21

Keep in mind that this pair is highly sensitive to the risk appetite of traders around the world, so we most certainly need to pay close attention to what is going on in other market such as the stock market, futures markets, and the like. All things being equal, this is a market that I think will continue to be very noisy and therefore potentially difficult, but it eventually returns to its old correlations of risk appetite fueled moves. Furthermore, we also have to pay close attention with all note the British pound overall, because it will obviously have a major influence on what happens next. I think there are a lot of concerns out there, so I expect to see a short-term rally, followed by some type of exhaustion above. If we have that happen, then we could get a nice longer-term move eventually, but I also recognize that the ¥150 level underneath will be significant in its importance.

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GBP/JPY Weekly Price Forecast – British Pound Recovers After Nasty Week

The British pound has fallen significantly during the course of the trading week to pierce the ¥150 level. The ¥150 level is a large, round, psychologically significant figure, so therefore it is likely that we will see a certain amount of support if we reach down towards that area. That being said, if we were to break down below the weekly hammer, that is a very negative sign and could send this market much lower. At that point, I believe that we would go looking towards the ¥145 level, possibly even the ¥142.50. That is obviously going to be a major “risk off move”, and therefore I think it would show itself in multiple markets.

GBP/JPY Video 26.07.21

On the other hand, if we break above the top of the weekly hammer, then it opens up the possibility of a move towards the ¥155 level. Keep in mind that the market is highly sensitive to the risk appetite of traders around the world, as the Japanese yen is considered to be a major safety currency. All things being equal, this is a market that I think has a lot of questions to ask of itself, but will get its cues from multiple other market such as the stock market, commodities, etc.

In general, we are trying to hang onto an uptrend, so I think we are either going to get a big move or noisy behavior. If the market were to break down below this hammer, I think that the negativity would overtake the market and it could be rather quickly. At that point, I would be very aggressive to the short side.

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GBP/JPY Price Forecast – British Pound Continues to Recover Against Yen

The British pound has rallied a bit during the course of the trading session on Friday to go into the weekend with a little bit of a positive spin. That being said, we are starting to struggle a little bit in this general vicinity, and therefore I think we are getting ready to roll over again. Ultimately, this is a market that will be moving on risk appetite in general, which is a bit all over the place. At this point, I think it is very likely that we may get a little bit of a pullback and potential continuation of the overall downtrend. That could send this market down to the ¥150 level, but it will be interesting to see how this plays out over the next couple of days.

GBP/JPY Video 26.07.21

To the upside, if we were to break above the ¥152.50 level, then the market would probably go looking towards ¥155 level in a very “risk on move.” At this point, then we would be testing major resistance. If we can break above there, then the market is likely to go looking towards the ¥160 level. One thing I think you can count on regardless though is going to be a lot of choppy behavior so that is something that we need to pay close attention to, with the idea of fading both signs of strength unless of course we can clear that barrier above. Regardless, I think this is going to be very noisy over the next couple of weeks.

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USD/JPY Price Forecast – US Dollar Continues Upward Momentum

The US dollar has rallied a bit during the course of the trading session on Friday to reach towards the ¥110.50 level, an area that has been important a couple of times in the past, and it is an area that should attract a certain amount of attention. If we can break above the ¥111 level, then it is likely that we go looking towards the ¥112 level. That is a major resistance barrier going back several months and years, so if we can break above there then it is likely that we could continue a longer-term move.

USD/JPY Video 26.07.21

If we pull back from here, the 50 day comes back into the picture which happens to be just below the ¥110 level. Ultimately, this is a market that I think will try to decide what to do next, because if we break down below there then we could dip towards the ¥109 level. I think the only thing that you can count on in this market is going to be choppiness and noisy behavior. This makes quite a bit of sense considering that both currencies are considered to be “safety currencies”, and therefore it does make quite a bit of sense that we go choppy more than anything else.

In fact, when you look at this chart a lot of times you can use it as an indicator as to where the Japanese yen is going to moving in general. If this pair falls, a lot of times I will short something else like the AUD/JPY, GBP/JPY, etc. On the other hand, if this pair rises then it makes sense that this pair signals that those other pairs could go higher. In that sense, this is a tertiary indicator.

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GBP/JPY Price Forecast – British Pound Heading Towards Resistance

The British pound has initially pulled back during the trading session against the Japanese yen only to turn around and show signs of strength again. Having said that, there is a lot of noise just above and I think it will become a bit of an issue given enough time. If the market were to rollover here, then I anticipate that the market will probably go looking towards the ¥150 area right away. Breaking down below that opens up even more negativity, but at this point in time I do not necessarily think that we are going to get some type of meltdown.

GBP/JPY Video 23.07.21

A lot of this is going to come down to risk appetite as this pair is highly sensitive to that exact issue. Ultimately, this is a market that will be very noisy to say the least, and it does make quite a bit of sense that this recovery has a bit of resistance above that more than likely will push it back down. Having said that, if we were to take out the ¥152.50 level, then it is very likely that we could continue to go higher.

I do not necessarily anticipate that happening right away, but if it did, I would have to turn around a start thinking bullish again. Obviously, we still have a lot of erratic behavior, and I think that will probably be the main theme in general. Getting large in any particular position at this point in time it is probably going to be very dangerous to say the least.

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GBP/JPY Price Forecast – British Pound Recaptures ¥150

The British pound has turned around to show signs of strength during the trading session on Wednesday, as we have broken above the top of the hammer from the Tuesday session. By clearing the ¥150 level, the market shows that it is trying to save itself, and at this point in time it is probably due for some type of bounce. Because of this, I believe that we are probably looking at a scenario where the market participants will continue to trade back and forth and try to reach towards the top of the massive selloff candlestick from the Monday session. If we can clear that, then it gives the market the air of strength.

GBP/JPY Video 22.07.21

On the other hand, if we were to turn around a break down below the hammer from the Tuesday session, that would be a very negative turn of events and could see this market dropping rather precipitously. At that point, I would anticipate that we would probably go looking towards the ¥145 level at the very least, perhaps even lower than that. This would obviously be a big “risk off” type of trade, so it will be worth paying close attention to. Ultimately, this is a market that I think will find one way or another to go higher in the short term, at least until we run into a bit of that sticky selling pressure. Breaking above the ¥152.50 level has the market trying to recapture the ¥155 level above. This has been a rather rough shakeout, but at the end of the day this is a market that certainly looks as if it is trying to save itself.

For a look at all of today’s economic events, check out our economic calendar.

GBP/JPY Price Forecast – British Pound Breaks Down Again

The British pound initially tried to rally during the course of the trading session on Tuesday but gave back the gains as we continue to see a lot of negativity. At this point, it does appear that we are going to go much lower, perhaps reaching towards the ¥147.50 level, after that, we could see a market reaching down towards the ¥145 level, which is a large, round, psychologically significant figure. With that being said, I do think that it is only a matter of time before we continue this negativity, as there is a huge rush towards safety in general.

GBP/JPY Video 21.07.21

I do believe that this is going to pick up pace, and we are starting to see a lot of fear creep it is way into the market, and that of course will be here as well. Ultimately, this is a market that I think you can continue to fade short-term rallies, at least until we can take out the ¥150 level to the upside on a daily close. I do not see that happening easily, so I am looking for short-term signals that I can jump on, as I believe this market will continue to offer plenty of opportunities.

If we did somehow close above the ¥150 level on a daily close, then I might be interested in trying to get long, but that obviously would take a major “risk on” move. At this point, I just do not see that happening and I think things are getting much more precarious now that they were just 48 hours ago.

For a look at all of today’s economic events, check out our economic calendar.

GBP/JPY Price Forecast – British Pound Plunges to Kickoff Week Against Yen

The British pound has broken down significantly against the Japanese yen during the trading session on Monday as we continue to see a lot of concern around the world when it comes to the coronavirus and lockdowns around the world. People are starting to worry about the reopening trade in a big way, which of course has people looking towards safety currencies and assets. The Japanese yen is one of the “safest currency is in the world”, so it does make quite a bit of sense that we have broken down the way we have.

GBP/JPY Video 20.07.21

The ¥150 level of course is a large, round, psychologically important figure, and if we break down below here significantly it could lead to a major turnaround, perhaps opening up another 500 pips to the downside. Nonetheless, this is a market that I believe continues to see a lot of noisy behavior to say the least, but it certainly looks as if it is threatening the downside more than the op at this point. In fact, I do not have a scenario in which I am comfortable buying this pair anymore, as the move on Monday was so vicious.

I think rallies continue to get sold into, as we are starting to see a lot of fear around the world, and quite frankly it is going to take a couple of very positive days for me to get involved in this pair, which I would of course let you know about here at FX Empire. At this point, the pair looks very threatened to the downside, and I just do not see that changing anytime soon.

For a look at all of today’s economic events, check out our economic calendar.

GBP/JPY Weekly Price Forecast – British Pound Showing Signs of Support

When you look at the British pound against the Japanese yen, you can see that we continue to drift lower, but there does seem to be a significant amount of support underneath, extending down to the ¥150 level. If we break down below the ¥150 level, then it will open up the “trapdoor to lower pricing.” I do not necessarily see that happening very easily, but it is worth noting that the market has been stubborn just below, and therefore I think we will be paying close attention to this market over the next couple of weeks.

GBP/JPY Video 19.07.21

As far as buying is concerned, I just do not see the catalyst to do so unless of course we suddenly see a major “risk on event” coming out. I just do not see that being the case, so more likely than not it is likely that it is going to be a market that stays in the same 500 PIP range that we have seen over the last several months, especially considering that we are in the middle of summer, which of course has its own issues due to liquidity as well.

Ultimately, I think that this is a market that will be difficult for longer-term traders to deal with, and I think it more or less lends itself to be a short-term range bound opportunity, perhaps off of the daily or even the four hour charts. That being said, I am obviously paying very close attention to both the ¥155 level and the ¥150 level for a longer-term trend following type of signal. Until then, sideways will be the market that we are stuck with.

For a look at all of today’s economic events, check out our economic calendar.

GBP/JPY Price Forecast – British Pound Slightly Higher Against Beleaguered Yen

The British pound has rallied a bit against the Japanese yen to close out the week on Friday, but quite frankly that is not a huge feat, as the Japanese yen has been getting hammered against almost everything. After all, Japanese JGB rates continue to fall there, making the currency much less attractive. However, if we do get some type of major “risk off event”, that could send this market lower despite bond issues.

GBP/JPY Video 19.07.21

It certainly looks as if we are getting relatively close to a “risk off event”, and that will have ramifications in and of itself. With that in mind, I think that what we are looking at here is a very high likelihood of a market drifting lower, but it must be said that out of all of the major currencies not named “the US dollar”, the British pound does seem to be holding up relatively well. Because of this, it is very likely that the drift lower in this pair will probably be slower than some of the other yen related pairs.

Underneath, the ¥150 level underneath is going to be a “floor the market” and extends down to the ¥149 level. Breaking through all of that probably opens up a bit of a “trapdoor” in the market and allows a more significant drop, but that does not necessarily look like something that is going to happen anytime soon. If we were to break above the ¥154 level, then it is possible we could be looking at a longer-term break out, but that also does not look like it is going to happen anytime soon.

For a look at all of today’s economic events, check out our economic calendar.

GBP/JPY Price Forecast – British Pound Gets Whipsawed by Comments

The British pound fell rather significantly early in the session but bounced quite drastically as Bank of England member Saunders suggested that there could be interest-rate hikes due to inflation. That being said, the market is likely to continue to see a lot of noisy behavior, as we are trying to figure out what is going on with risk appetite in general. That being said, the market is likely to see a lot of choppy behavior, but it does look like we continue to drift lower.

GBP/JPY Video 16.07.21

Looking at this chart, it looks as if we will eventually try to go finding the ¥150 level underneath, which is a previous level of importance. There has been a lot of noisy behavior and downward pressure for a while, and I think that once we get past the initial shock of the statement, we will probably continue to look at the overall risk appetite and wonder whether or not this pair can continue to go higher? In general, I still think that we will see sellers coming in every time we see signs of exhaustion, as the market simply does not seem to be willing to take a lot of risk in general right now.

With that being the case, the market is probably one that we need to pay close attention to position size more than anything else. To the upside, we need to get past the ¥153.50 level to consider going long at this point in time. That being said though, expect a lot of whipsawed type of trading that will be difficult to get your hands on.

For a look at all of today’s economic events, check out our economic calendar.

GBP/JPY Price Forecast – British Pound Gives Up Early Gains

The British pound initially tried to rally during the course of the trading session on Wednesday, but gave back the gains rather quickly, as we are essentially just hanging about in the same general area, we have been in over the last couple of days. Ultimately, this is a market that I think continues to see a lot of noisy behavior, because quite frankly it is highly correlated to risk appetite. As people go looking for safety, they will be buying Japanese yen.

GBP/JPY Video 15.07.21

To the upside, if we could clear the ¥154 level, then the market will probably go challenge the highs that we made several weeks ago. Ultimately, this is a market that I think continues to see a lot of volatility more than anything else, and at this point in time there are a lot of concerns out there when it comes to whether or not we are going to continue to see growth. The range has been relatively tight, so that of course shows that we are perhaps building up inertia to make a much bigger move.

Until then, I still believe that rallies will probably be sold into, but I am not looking for a big move until we break down below the ¥152.50 level. If we do, then it is very likely that we will go looking towards the ¥150 level underneath, which of course is a large, round, psychologically significant figure. With that being the case, I think there would be a lot of noise there but breaking down below that could change the entire trend.

For a look at all of today’s economic events, check out our economic calendar.

GBP/JPY Price Forecast – British Pound Gives Up Early Gains

The British pound initially rallied a bit during the course of the trading session on Tuesday but gave back the gains to reach towards the ¥152.50 level. By doing so, it looks as if the market is trying to figure out where to go next, and perhaps whether or not we are going to have some type of risk appetite going forward. The market breaking down below the ¥152.50 level opens up the possibility of a move towards the ¥150 level, which of course is a large, round, psychologically important figure that will attract a lot of headlines. With that in mind, I think it will be difficult to break down below there, but if we do then things get rather ugly.

GBP/JPY Video 14.07.21

Keep in mind this pair is highly sensitive to risk appetite, so that makes quite a bit of sense that as things are starting to get a little bit shaky around the world, that we are grinding lower. To the upside, the ¥155 level extends all the way to the ¥156 level as far as resistance is concerned. If we break above there, then the market is likely to continue going much higher on a longer-term uptrend that could last several months going forward.

That being said, it looks very unlikely to happen easily, and we would obviously need to see some type of major turnaround when it comes to general risk appetite. We would need to see something very big happened to make that a reality. At this point, I think it is much more likely to see a grind lower than anything else.

For a look at all of today’s economic events, check out our economic calendar.

GBP/JPY Price Forecast – British Pound Pulls Back to Kickoff Week

The British pound initially tried to rally during the course of the trading session on Monday but then gave back early gains to reach down towards the ¥152.50 level rather quickly. If we do break down below this level, it is very likely that we could drop another 100 pips. Underneath, we would see massive support not only at that level, but also at the ¥150 level.

GBP/JPY Video 13.07.21

If we were to break down below the ¥150 level, that would be very negative for this market, but you should also keep in mind that the support probably runs down to the ¥149 level in that general vicinity, which is common for these huge round figures and of course potential trend changing situations. With that being said, the market is likely to be very noisy, but will also be influenced by risk appetite in general, so that is something worth paying attention to.

To the upside, the ¥155 level is massive resistance, and if we can break above the ¥156 level, then the market is likely to continue going much higher, as it would continue the overall uptrend, perhaps sending this pair towards the ¥160 level. That being said, it would represent a strong “risk on move” overall, as the Japanese yen is considered to be a safety currency. All of that being said, this is a market that is trying to figure out what to do with itself longer term, so that is something that must be paid close attention to over the next couple of weeks. With this, the most important thing you can do is pay close attention to position sizing.

For a look at all of today’s economic events, check out our economic calendar.

GBP/JPY Weekly Price Forecast – British Pound Plunges for the Week

The British pound has fallen rather significantly during the course of the week, reaching down towards the ¥150 level before bouncing a bit. With this being said, the market has been threatened, but then turned around to show signs of life again. All things being equal, the market is likely to continue to be very noisy, as we are in an area of extreme choppiness. If we were to break down below the ¥149 level, that could open up a move down to the ¥145 level, perhaps even the ¥140 level over the longer term. This of course would be the “risk off” scenario.

GBP/JPY Video 12.07.21

On the other hand, if the market were to rally from here, the ¥155 level could be a bit of a target, but it is not until we break above the ¥156 level that it would be a longer-term move just waiting to happen. In general, the market had gotten up here too quickly, and the question now is whether or not risk appetite can continue? At this point, it is very difficult to imagine a scenario where I would be “all in” when it comes to this pair at the moment, because quite frankly there are far too many potential headwinds.

With this being the case, it still looks bullish in general, but this is a market that I think continues to see a lot of external influences in the form of risk appetite, so therefore it is a bit difficult to quantify at times. You will have to take your cues from other markets as to whether or not this one should be rising.

For a look at all of today’s economic events, check out our economic calendar.