HomeAnalysis NewsForex Trading: GBPJPY Technical Analysis – July 01, 2019

Forex Trading: GBPJPY Technical Analysis – July 01, 2019

1 July 2019 By Galina Mikova

The Great Britain Pound (GBP) inched higher against the Japanese Yen (JPY) on Monday,  increasing the price of GBPJPY to more than 137.00 following some major economic releases. The technical bias may remain bearish since the pair’s price marked a lower high in the recent downside move.

GBP/JPY Technical Analysis

Currently, the pair is being traded around 137.47, a key horizontal resistance can be witnessed around 138.46, ahead of 142.74 the 61.8% Fib level support and then comes 148.34, the trendline resistance as demonstrated in the given below chart.

GBPJPY

On the downside,  a support can be seen around 135.77, the 23.6% fib level support ahead of 132.90, the trendline support and then comes 131.46 the key horizontal support as demonstrated in the given above chart. The technical bias shall remain bearish as long as 135.77, the key horizontal resistance level remains intact.

United Kingdom’s 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.