- GBP/JPY rises 0.48% to 187.44, boosted by positive market sentiment and highs on Wall Street.
- Bullish momentum, with an eye on the resistance at 188.00, with targets towards the January 19 high at 188.93.
- Downside risks: possible pullback to Tenkan-Sen (187.06), with key supports at 187.00, and then 185.44.
The pair GBP/JPY rose late in the North American session, extending its gains thanks to optimistic market sentiment, as evidenced by Wall Street reaching new all-time highs. At the time of writing, the pair is trading at 187.44, up 0.48%.
The daily chart suggests the pair is biased higher after GBP/JPY price action on February 1 formed a “hammer”, exacerbating today's recovery to a new two-day high of 187.73. If buyers lift the exchange rate beyond the 188.00 figure, it could pave the way towards the January 19 high at 188.93 before challenging 189.00
On the contrary, if the GBP/JPY pair falls below the Tenkan-Sen at 187.06, it could open the way to challenge the 187.00 level. Once these two levels are broken, the next stop would be the Senkou Span A at 185.44, followed by the February 1 low at 185.22. The next bearish level is located at 185.00.
GBP/JPY Price Action – 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.
