GBP/JPY Price Analysis: Climbs to YTD high above 184.00 amidst a soft JPY
|- GBP/JPY reached a new YTD high above 184.00.
- A favorable technical setup, including the Ichimoku Cloud (Kumo) position and a Tenkan-Sen/Kijun-Sen crossover, supports a bullish outlook.
- If the GBP/JPY retraces below 183.00, it might witness an accelerated pullback towards technical support at 182.32 and 182.00, with Kumo’s top and the Kijun-Sen providing subsequent support levels.
Pound Sterling (GBP) extended its gains against the Japanese Yen (JPY) on Thursdays, as the latter weakened as inflation in the United States (US) decelerated, though it triggered a rally in the USD/JPY pair. Consequently, the GBP/JPY printed a new year-to-date (YTD) high of 184.24. At the time of writing, the GBP/JPY exchanges hands at 183.44, up 0.34%.
GBP/JPY Price Analysis: Technical outlook
The GBP/JPY resumed its uptrend, despite dipping towards the 183.40s area as of writing, sponsored by several factors. The Ichimoku Cloud (Kumo) remains below the price action, while the crossover of the Tenkan-Sen above the Kijun-Sen, opened the door for further upside, as seen during Thursday’s session.
For the GBP/JPY to extend its uptrend toward the 185.00 figure, buyers must reclaim 184.00, followed by the YTD high of 184.24. Conversely, if GBP/JPY continues to edge lower and breaks below 183.00, that could exacerbate the pullback. Hence, the GBP/JPY first support would be the Tenkan-Sen at 182.32, followed by a support trendline at around 182.00. Break below will expose the Kumo’s top at 180.60/75, followed by the Kijun-Sen at 180.27.
GBP/JPY Price Action – Daily chart
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.