Yahoo Finanza GBP/JPY Weekly Price Forecast – British Pound Gets Hammered for the Week
British Pound vs Japanese Yen Weekly Technical Analysis
The British pound has gotten hammered during the week to reach to the ¥156 region before bouncing a bit. The recovery on Friday is somewhat impressive, so now we need to look to see whether or not the ¥157.50 level is going to be recaptured. If it is, then there is a chance of recovery but we need to see risk appetite take off as well. Remember, this pair is highly sensitive to risk appetite around the world, which of course has been suspect to say the least.
If we were to break down below the ¥155 level, then it is possible that we could break down rather significantly. In the meantime, I think we get a situation where the market is probably tenuous at best, and even though we have sold off the way we have over the last week, we are still technically in an uptrend. Keep that in mind, but it is also worth noting that the British pound itself is in quite a bit of trouble. The Japanese yen has recovered quite nicely, but obviously we had gotten far ahead of reality when we went straight up in the air.
If we do break down below the ¥155 level, then I think it is only a matter of time before we reach the ¥152.50 level, possibly even the ¥150 level. Anything below there would be disasters for this pair, and it could show quite a bit of negativity and probably a Ron away from risk assets due to complete fear.
GBP/JPY Price Forecast Video 16.05.22
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This article was originally posted on FX Empire
