HomeAnalysis NewsForex Trading: GBPJPY Technical Analysis – October 17, 2019

Forex Trading: GBPJPY Technical Analysis – October 17, 2019

17 October 2019 By Galina Mikova

The Great Britain Pound (GBP) dropped on Thursday against the Japanese Yen (JPY), dropping GBPJPY’s price to below 139.00 after some major economic releases. The technical bias may remain bullish as the price of the pair in the recent upside move marked a higher peak.

GBP/JPY Technical Analysis

Currently, the pair is being traded around 138.78. the major horizontal support can be seen around 137.69, ahead of 135.59, the trendline support and then comes 135.05, the 38.2% Fib level which prevents the price from further falling, as demonstrated in the given below chart.

GBPJPY

Conversing the upside, Immediate trendline resistance can be observed about 140.01, ahead of 140.33, the 61.8% Fib level support, and then comes 148.83 as shown in the above graph. The technical bias will remain bullish as long as 137.69 remains the key level of horizontal support.

GBP Consumer Price Index

The Office for National Statistics reported on Tuesday that CPI remained at 1.7 percent in October, less than the 1.8 percent expected by City of London analysts.

The National Statistics Consumer Price Index is an indicator of price movements by measuring the retail prices of a typical consumer basket of goods and services. Inflation drags down GBP’s purchasing power. The CPI is a key indicator for calculating inflation and trend changes in purchasing. A high reading is generally regarded as good (or bullish) for the GBP.

Trade Idea

Given the pair’s overall price activity over the past couple of days, it can be a good decision in the short to medium term to sell GBPJPY around current levels. Because trading requires a number of other elements in order to remain secure, such as broker choice, trading platform, leverage rates, negative balance security, etc.therefore, exploring comparative websites may help you achieve your desired results.