GBPJPY Technical and Fundamental Analysis

Expert analysis on the GBP/JPY pair and live update of the technical analysis

Important Issues to Consider

In September 2021, the Bank of England decided to downgrade the rate growth projections. Equally, they mentioned and warned on the need to control inflation. It implies that a possible price-in rate hike might be experienced in 2022. That said, the higher rate probability makes the GBP currency strong while weakening the JPY.

GBP Support and Resistance

SUPPORT 

Support 1: 149.63

Support 2: 148.17

Support 3: 145.70

RESISTANCE 

Resistance 1: 151.92

Resistance 2: 153.16

Resistance 3: 155.54

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GBPJPY Technical Outlook

Technically, GBPJPY has held an important support area on the monthly chart. Analytically, in the week ahead, a short-term bullish move is expected to the areas between 152.807 to 153.240. After that, a long-term bearish movement will be triggered to the areas around 148.373 to around 137. 900. It implies that bulls should trade cautiously as a possible downtrend movement could be triggered anytime. 

GBP Monthly Chart

GBP 4 Hour Chart

GBP Technical and Fundamental Summary

My focus will be on the bears in the coming week as they have a high edge compared to the bulls in the long term. The bears' train might leave the station anytime, so risk management and stop loss are important.