GBP/JPY Price Analysis: Double top in the making, targets 153.80

Wednesday’s choppy session witnessed GBP/JPY moving towards February 22 daily low at 155.50.
The British pound weakened in the session, benefitting safe-haven peers.
GBP/JPY is downward biased as a double-top chart pattern looms, with a target of 153.80.

Christian Borjon Valencia FXStreet

The GBP/JPY is subdued on Wednesday’s choppy trading session, as market sentiment fluctuated between risk-on/off. The GBP/JPY is trading at 155.73.

The market sentiment is downbeat as US equity indices fell 1.38% and 2.60%. In the FX space, the mood is mixed, as safe-haven peers like the US dollar, the Japanese yen, and the Swiss franc edged up vs. the British pound.

GBP/JPY Price Forecast: Technical outlook

GBP/JPY daily chart depicts a double-top, following the rally from January 24 low at 152.90, to February 10 high at 158.06. That said, in the last five days, the risk-off market mood boosted the prospects of the JPY, leading to a leg-down followed by a sudden spike to the 157.00 area retreating afterward to current levels.

Therefore, the GBP/JPY is downward biased, despite the daily moving averages (DMAs) residing below the spot price. Further, the double top’s target would be 153.50, 50-pips above the 200-DMA. That said, the GBP/JPY first support would be the “neckline” around 155.50. Breach of the latter would expose the 50-DMA at 155.27, followed by the 100-DMA at 154.37, and then the 153.80 double-top target.

GBP/JPY

Overview
Today last price	155.81
Today Daily Change	-0.44
Today Daily Change %	-0.28
Today daily open	156.25

Trends
Daily SMA20	155.88
Daily SMA50	155.16
Daily SMA100	154.35
Daily SMA200	153.44

Levels
Previous Daily High	156.51
Previous Daily Low	155.52
Previous Weekly High	157.29
Previous Weekly Low	155.31
Previous Monthly High	157.77
Previous Monthly Low	152.91
Daily Fibonacci 38.2%	156.13
Daily Fibonacci 61.8%	155.9
Daily Pivot Point S1	155.67
Daily Pivot Point S2	155.1
Daily Pivot Point S3	154.68
Daily Pivot Point R1	156.67
Daily Pivot Point R2	157.09
Daily Pivot Point R3	157.66

Author

Christian Borjon Valencia

FXStreet

Markets analyst, news editor, and trading instructor with over 14 years of experience across FX, commodities, US equity indices, and global macro markets.

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