GBP/JPY Down 6 Pips in Last 4 Hours, Makes Big Move Relative to Two Week Trend; Eyes 20 Day Average

GBP/JPY 4 Hour Price Update

Updated July 29, 2020 01:13 AM GMT (09:13 PM EST)

GBP/JPY is down 6 pips (0.05%) since the previous 4 hours (opening the current 4 hour candle near 135.856), marking the 2nd candle in a row a decline has happened. Out of the 37 instruments in the Forex asset class, GBP/JPY ended up ranking 27th for the four-hour candle in terms of price change.

GBP/JPY End of Day Recap

Updated 00:30 GMT (04:30 EST)

The choppiness in the recent daily price action of GBP/JPY continues; to start today, it came in at a price of 135.79965486, down 10 pips (0.07%) since yesterday. On a relative basis, GBP/JPY was the worst performer out of all 40 of the assets in the Forex asset class. Let’s take a look at price chart of GBP/JPY.

GBP/JPY

GBP/JPY Technical Analysis

Notably, GBP/JPY is now close to its 20, 50, 100 and 200 day averages, located at 135.2853, 134.8919, 133.8383 and 136.9028 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 20 day average, which is 51.4 pips away. The clearest trend exists on the 14 day timeframe, which shows price moving up over that time. Or to simplify this another way, note that out of the past 14 days GBP/JPY’s price has gone down 8 them. 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 21 buy signals on our radar and 13 sell signals. This imputes a buy/sell ratio of 1.62, which is bullish. As for the rationale, technical traders seem to be citing the appearance of channel, flag, pennant, trendline and wedge technical patterns. Here’s a piece we found on tradingview.com; below is a short snippet from it to give you a taste.

I believe GBPJPY will continue bullish in that upward channel you can see on the photo. There are two possible take profits. What do you all think?