To receive Ilya’s analysis directly via email, please SIGN UP HERE
Talking Points:
- GBP/JPY Technical Strategy: Flat
- Support: 192.99, 191.45, 188.96
- Resistance: 195.48, 197.50, 199.51
The British Pound is consolidating gains after rising to the highest level in seven years against the Japanese Yen. A daily close above the 38.2% Fibonacci expansion at 195.48 exposes the 50% level at 197.50. Alternatively, a reversal below the 23.6% Fib at 192.99 clears the way for a test of the 14.6% expansion at 191.45.
Prices are too close to resistance to justify entering long from a risk/reward perspective. On the other hand, the absence of a defined bearish reversal signal suggests that taking up the short side is premature. With that in mind, we will remain flat for now.
Add these technical levels directly to your charts with our Support/Resistance Wizard app!
— Written by Ilya Spivak, Currency Strategist for DailyFX.com