GBP/JPY Up 20 Pips; Eyes 20 and 50 Day Averages

GBP/JPY Price Recap

GBP/JPY enters today at 143.282 in US dollars, up 20 pips (0.14%) from the day prior. The price move occurred on stronger volume, as measured by the number of tick price changes; specifically, yesterday’s volume was up 15.78% from the day prior, and up 86.34% from the same day the week before. Out of the 40 instruments in the Forex asset class, GBP/JPY ended up ranking 15th for the day in terms of day-over-day price change. 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 averages, located at 142.7784, 142.8949 and 141.4086 respectively, and thus may be at a key juncture along those timeframes. 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 50 day average, which is 38.7 pips away. Something else of critical noteworthiness is that GBP/JPY may have broken its trend on the 14 day basis, as the trend’s momentum appears to be slowing down. Volatility for GBP/JPY has exploded over the past two weeks relative to the past 30 days, which technical traders will want to note. Trend traders will want to observe that the strongest trend appears on the 30 day horizon; over that time period, price has been moving up. Or to simplify this another way, note that out of the past 14 days GBP/JPY’s price has gone up 8 them.

The View From Around the Web

We’re seeing some traders come out with interesting conviction on GBPJPY, with 11 buy signals on our radar and 10 sell signals. This imputes a buy/sell ratio of 1.1, which is neutral. As for the rationale, technical traders seem to be citing the appearance of a channel technical pattern. Here’s a piece we found on tradingview.com; below is a short snippet from it to give you a taste.

To your attention, a technical analysis of the #Gbpjpy currency pair:#Comment_to_past_week:The currency pair, under the influence of the factor #usdjpy, got rid of the major pair #gbpusd, this allowed to close the week +146 points (+ 0.98%)….However, we recommend that you wait until the pair “finds” consolidation, only then, we suggest you open long positions with short stops….Regards to subscribers,Ltd ”Wermelgion and Partners Investment”!Attention: Trading financial instruments and (or) cryptocurrencies is fraught with high risks, including the risk of losing part or all of the investment, therefore it is not suitable for all investors.