GBP/JPY Price Analysis: Plunged and fulfilled double top’s target though bounced off the lows towards 154.50
- The British pound drops 1.12% in the week vs. the yen, blamed on Russia’s invasion.
- On Thursday, the Average Daily Range (ADR) of the GBP/JPY was 250 pips.
- GBP/JPY Technical Outlook: Persist upward-biased post reclaiming the 100-DMA.

The British pound is set to end the day in the red as the North American session winds down, following a busy session in the financial markets, driven by headlines of the Russian invasion of Ukraine, which has taken a toll on risk market mood. However, following US President Biden’s new tranche of sanctions imposed on Russia and people linked to Vladimir Putin’s regime, witnessed a U-turn on US stocks, spurred by a risk-on mood. That said, the GBP/JPY is trading at 154,47.
On Thursday, during the Asian Pac session, the GBP/JPY was subdued in the 155.43-88 area. But as soon as the headlines of Russian President Putin said that a special military operation was underway in Ukraine, the risk-sensitive GBP plummeted, reaching a daily low at 153.36, a 250-ípip move.
GBP/JPY Price Forecast: Technical outlook
In Wednesday’s article, I mentioned that the “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.” Additionally noted that the double-top target was 153.80. All in all, the GBP/JPY double-top target was achieved, probably helped by anxiety and panic in the financial markets, which boosted appetite for safe-haven peers.
Wednesday article here: GBP/JPY Price Analysis: Double top in the making, targets 153.80
So far, as the Asian Pac session begins, the GBP/JPY licks its wounds and prepares for the last trading day of the week. The GBP/JPY finalized the North American session above the 100-day moving average (DMA) at 154.38 after piercing the 200-DMA at 153.38.
That said, the cross-currency pair remains upward biased, though it would depend on risk appetite. The GBP/JPY first resistance level would be February 3 daily low at 155.04. A decisive break would expose the 50-DMA at 155.32, followed by the 156.00 figure.
Author

Christian Borjon Valencia
FXStreet
Christian Borjon began his career as a retail trader in 2010, mainly focused on technical analysis and strategies around it. He started as a swing trader, as he used to work in another industry unrelated to the financial markets.


















