HomeAnalysis NewsForex Trading: GBPJPY Technical Analysis – August 09, 2019

Forex Trading: GBPJPY Technical Analysis – August 09, 2019

9 August 2019 By Galina Mikova

The Great Britain Pound (GBP) inched low against the Japanese Yen (JPY) on Friday,  decreasing 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 lower low in the recent downside move.

GBP/JPY Technical Analysis

Currently, the currency pair is being traded around 127.30.  On the downside,  a support can be seen around 126.60, the38.2% fib level support ahead of 123.17, the trendline support and then comes 120.05, the key horizontal support as demonstrated in the given below chart:

GBYJPY-09-August-2019

A trendline resistance can be witnessed around 132.53, ahead of 135.28, the 38.2% Fib level support and then comes 139.75, the key horizontal resistance as demonstrated in the given above chart. The technical bias shall remain bearish as long as 132.53, the key horizontal resistance level remains intact.

GBP 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.

Trade Idea

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.

 


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