GBP/JPY Aims More Upsides

GBP/JPY could rise further if there is a clear move above the 165.70 resistance.

Important Takeaways for GBP/JPY

· GBP/JPY is showing a lot of bullish signs above the 162.50 support.

· There was a break above a key contracting triangle with resistance near 162.65 on the daily chart.

GBP/JPY Technical Analysis

The British Pound started a fresh increase from the 158.50 resistance against the Japanese Yen. The GBP/JPY pair gained pace above the 160.00 resistance zone.

There was a clear move above the 162.20 level and the 50 hourly simple moving average. There was also a break above a key contracting triangle with resistance near 162.65 on the daily chart. There was a move above the 50% Fib retracement level of the downward move from the 172.12 swing high to 155.32 low.

GBP/JPY Daily Chart

An immediate resistance on the upside is near the 165.70 zone. It is near the 61.8% Fib retracement level of the downward move from the 172.12 swing high to 155.32 low.

The next key resistance could be 167.00. A clear break above the 167.00 resistance could push the pair towards the 168.00 resistance.

If not, the pair might decline below the 163.50 level. On the downside, an initial support is near the 163.20 level. The next major support is near the 162.00. If there is a downside break below the 162.00 support, the pair could decline towards the 160.50 support zone in the coming sessions. Any more losses might call for a test of the 159.20 support zone.

Disclaimer: This Forecast represents FXOpen Companies opinion only, it should not be construed as an offer, invitation or recommendation in respect to FXOpen Companies products and services or as Financial Advice.