GBP/JPY Price Forecast – British Pound Continues to Struggle with ¥155
The British pound has rallied rather significantly during the course of the trading session on Tuesday as we continue to press the ¥155 level. That being said, the market has pulled back a bit from there and it certainly looks as if we would probably have the possibility of an attempt to break higher. Nonetheless, I do think that this is a market that given enough time will find reasons to try to break out above there. As we have such significant momentum from the longer-term standpoint. If we can do that, then I think the market has much further to go, perhaps the ¥157.50 level, followed by the ¥160 level.
GBP/JPY Video 26.05.21
Underneath, I believe that the ¥152.50 level is going to offer significant support in what has been a very strong uptrend to begin with. With that in mind, I have no interest whatsoever in trying to short this market, and I look at pullbacks as potential buying opportunities. With this being the case, if we get a bit of a dip, I look at it as a potential buying opportunity more than anything else.
Your capital is at risk
The candlestick for the session was a little discouraging, but at the end of the day I do not think it makes a lot of sense to be overly concerned about it when you look at the totality of the way the markets been going. This is a risk on/risk off type of situation, so if market starts to “feel better”, this is a market that should do fairly well.
For a look at all of today’s economic events, check out our economic calendar.