Forex Trading: GBPJPY Technical Analysis – January 20, 2020
The Great Britain Pound (GBP) inched higher against the Japanese Yen (JPY) increasing the price to more than 143.00, following some major economic releases. As far as the technical bias is concerned, it might remain bullish due to the lower high printed on the graph during the recent downside move.
GBP/JPY: Technical Analysis
As of now, the GBPJPY is being quoted near 143.22. The price may come across a resistance around 143.74, the immediate trendline resistance level ahead of 146.00 the psychological number and then the major horizontal resistance may push the price back as soon as the price may hit the said level at 147.92, as shown in the graph below.
Talking about the downside, the price may receive support near 141.18, it’s trendline support which may help the price to sustain around the current level and prevent it from falling further, it may then meet another support level near 139.82, which is a confluence of a trend line and horizontal support level and then comes 134.79, the 61.8% Fib level support as shown in the graph above.
UK’s ILO Unemployment Economic Release
From the fundamental standpoint, ILO Unemployment rate is put forward by the National Statistics provides the number of unemployed workers in proportion after taking account of the whole labor workforce in the country being employed or employed. It is the key indicator of the country’s economy. Should the rate is up, lack of expansion within the U.K. labor market occurs leading to a weaker economy. Generally speaking, a low reading is considered as a bullish market for the Great Britain Pound (GBP) and vice versa.
Considering the price movement of the pair over the last couple of days, trading the paid around current levels for both short and long term positions may be a good idea.