- The GBP/JPY daily chart shows the formation of a double top chart pattern.
- If the pair falls below the Kijun-Sen, a further decline towards 180.76 is expected, due to the confirmation of the double top.
- Buyers who maintain the exchange rate above 187.00 could increase the odds of challenging the YTD high.
GBP/JPY’s decline extended to three consecutive days, as it recorded losses of 0.09% at the end of the American session, with the pair trading close to its opening price around 187.07.
Even though the GBP/JPY pair is trading with a negative bias, it has failed to extend its losses below 187.00, which could have exposed the Tenkan-Sen level at 186.55. Breaking this last level would resume the downtrend, with sellers focusing on the Senkou Span A level at 185.63, followed by the Kijun-Sen support at 184.71.
Since the “double top” chart pattern is pending confirmation, a daily close below the Kijun-Sen level would validate the pattern, which is targeting the October 30 low at 180.76.
Spot, above the Tenkan-Sen and 187.00, would test the year-to-date high at 188.65.
GBP/JPY Price Analysis – Daily Chart
GBP/JPY Technical Levels
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
