The Great Britain Pound (GBP) inched high against the Japanese Yen (JPY) on Tuesday, increasing the price of GBPJPY to less than 130.00 following some major economic releases. The technical bias may turn bearish since the pair’s price marked a higher low in the recent upside move.
GBP/JPY Technical Analysis
Currently, the currency pair is being traded around 132.61. A key horizontal resistance can be witnessed around 133.05, ahead of 135.00, the psychological number and then comes 137.01 the key horizontal resistance as demonstrated in the given chart.
On the downside, a support can be seen around 131.31, the key horizontal support ahead of 130.25, the 38.2% Fib level and then comes 128.84, the trendline support as demonstrated in the given above chart. The technical bias shall remain bearish as long as 133.05, the key horizontal resistance level remains intact.
Great Britain Pound Growth’s Rate
The UK economy picked up speed in the three months to July, boosted by warm weather and the World Cup.
The Office for National Statistics reported on Monday that GDP expanded by 0.3 percent in Jan, better than the 0.2 percent expected by City of London analysts and up from the 0.1 percent growth rate in Dec.
Over the three months, the growth rate picked up from 0.4 percent to 0.6 percent, the highest since the summer of 2017. Generally speaking, an increasing trend indicates a bullish market for Great Britain Pound (GBP) and vice versa.
Considering the overall price behavior of the pair over the last couple of days, buying the GBPJPY around current levels can be a good decision in short to medium term. Since trading involves various other elements in order to stay safe such as choice of brokers, trading platform, leverage levels, negative balance protection, etc, therefore, exploring comparative websites may help you achieve your desired results.
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