GBP/JPY Down 24 Pips On 4 Hour Chart, Makes Big Move Relative to Two Week Trend; 4 Day Up Streak Broken

GBP/JPY 4 Hour Price Update

Updated July 02, 2020 01:14 AM GMT (09:14 PM EST)

The back and forth price flow continues for GBP/JPY, which started the current 4 hour candle off at 133.826, down 24 pips 0.18% from the last 4 hour candle. Out of the 37 instruments in the Forex asset class, GBP/JPY ended up ranking 36th for the four-hour candle in terms of price change.

GBP/JPY End of Day Recap

Updated 00:30 GMT (04:30 EST)

GBP/JPY, which opened today priced near 133.96258068, is down 10 pips 0.07% since the previous day, marking a reversal from the day prior — and the end of a 4 day positive run. Compared to its peers in the Forex, GBP/JPY gave its buyers a return that ranked 39th in terms of percentage change since the previous day. Let’s take a look at price chart of GBP/JPY.

GBP/JPY Technical Analysis

Notably, GBP/JPY is now close to its 20, 50 and 100 day moving averages, which may act as price barrier for the asset. As for the alignment of the moving averages, well, it’s a bit mixed up; the 20, 50, 100, and 200 do not progress from largest to smallest, or vice versa. The closest is the 20 day average, which is 31.1 pips away. Volatility for GBP/JPY has been contracting over the past two weeks relative to volatility over the past month. Whether volatility reverts will be something to watch. The clearest trend exists on the 30 day timeframe, which shows price moving down over that time. For additional context, note that price has gone up 8 out of the past 14 days. Oh, and one last thing: if you trade off of candlesticks, note that we’re seeing doji and pin bar patterns appearing here.

The View From Around the Web

We’re seeing some traders come out with interesting conviction on GBPJPY, with 22 buy signals on our radar and 8 sell signals. This imputes a buy/sell ratio of 2.75, which is bullish. As for the rationale, technical traders seem to be citing the appearance of a trendline technical pattern. Here’s a piece we found on tradingview.com; below is a short snippet from it to give you a taste.

BUY@133.520SL: 60 pipsTP: 238 pips ( 135.910)RRR: 3.96Reason for trade: – Strong Daily/4HR Ascending Trendline (not obvious)-Fresh 1HR Trendline possible 3 hit incoming- 50,100,200 EMA all right underneath priceBe aware of 134.,134.5 and 135.