Patterns: GBP/JPY, AUD/JPY
|GBP/JPY 4H Chart: Set for breakout
The British Pound has appreciated about 9.79% in value against the Japanese Yen since the beginning of January. This movement was guided in an ascending channel pattern.
Currently, the currency pair is testing a support level formed by the lower boundary of a four-month ascending channel and the 50-hour simple moving average at 145.79.
If the GBP/JPY passes the support level, a decline towards a swing low of 144.00 could be expected. However, if the given channel holds, it is likely that an upside reversal could occur in the nearest future.
AUD/JPY 4H Chart: Bullish sentiment to continue
The AUD/USD exchange rate has been trading within a narrow ascending channel pattern since the end of March.
Given that the currency pair is being pressured by the 50-, 100– and 200-hour simple moving averages, it is likely that an upside potential prevails in the short-term. Most likely, the Aussie will aim for the upper channel line located at the 81.00 mark.
Although, the currency exchange rate has to surpass the monthly resistance level at 80.73. If the given resistance level holds, a reversal south could occur during the following trading sessions.
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.