Forex Trading: GBPJPY Technical Analysis – Febuary 10, 2020
Great Britain Pound (GBP) begins its the week of trading with the bullish candle, and thus marking its position at more than 141.00 on the graph attached against the Japanse Yen (JPY), it was noted that we could not catch the true picture of the GBPJPY because it constantly displayed variations in its price movement, one day it rose, and the next day it dropped, but luckily it did not affect much in its movement. As far as the technical bias is concerned, it might remain bearish, because of the higher low move in the last upside movement.
GBP/JPY: Technical Analysis
At the graph, the price of the GBPJPY is 141.68. At this level, if it takes a step forward, the pair may be harmed by the upcoming level of resistance which might hit it. At first, there is the confluence of the Fib and the trendline that could hit at 142.90, at the short distance ahead, there is another trendline at 144.69, followed by a significant horizontal resistance at 147.91.
Luckily, the price on the other side is backed by the number of support levels at 139.99 there is a confluence of the Fib level and the trendline that below the price shortly after that, the price gets a further support of the trend line at 138.56, and then at 134.66, there is a major horizontal support.
UK Manufacturing Purchasing Managers Index (PMI)
The Manufacturing Purchasing Managers Index (PMI) placed itself at the’ 50 on February 03, 2020, although it was slightly better than the previous 49.8 indexes. As for GBP, the results of over 50 are bullish, while the results of under 50 are regarded as pessimistic Since the manufacturing sector accounts for a large part of the total GDP. PMI production is an important measure for the UK business and the economy.
While, with this recent movement, the GBPJPY is only making short-term traders happier. But that doesn’t mean long-term traders can’t invest in it.