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GBP/JPY Price Forecast: Clears key resistance, aims towards 212.00

  • GBP/JPY rallies after Sanae Takaichi nominates dovish academics to the Bank of Japan board.
  • RSI breaks above 50, signaling renewed bullish momentum after rebound from 100-day SMA.
  • Break above 212.00 opens path toward 214.44 and 215.00, with 211.10 key support.

The GBP/JPY rallies for the second straight day, up by over 0.80% as Yen weakness extends, as the Japanese Prime Minister Takaichi nominates two slightly “dovish” academics to the Bank of Japan’s board. The cross trades at 211.94, slightly below the day’s high of 212.12.

GBP/JPY Price Forecast: Technical outlook

The technical picture shows that the uptrend has resumed, after bottoming near the confluence of the 100-day SMA and a support trendline at around 207.62. Bullish momentum in the GBP/JPY rose as the Relative Strength Index (RSI) crossed aggressively above the 50-neutral level, an indication of buyer’s strength.

GBP/JPY first resistance is 212.00. A breach of the latter will expose the February 9 high at 214.44, followed by the February 4 peak at 215.00. Once cleared, the next stop would be the July 2008 peak at 215.88 ahead of August’s 2007 monthly low, previous support turned resistance at 219.32.

On the downside, support is seen at 50-day SMA at 211.11, followed by the February 16 high turned support at 209.68. Once breached, the next demand zone would be the February 23 daily low of 208.14 ahead of 208.00.

GBP/JPY Price Chart – Daily

GBP/JPY Daily Chart

Japanese Yen Price Today

The table below shows the percentage change of Japanese Yen (JPY) against listed major currencies today. Japanese Yen was the strongest against the US Dollar.

USDEURGBPJPYCADAUDNZDCHF
USD-0.26%-0.41%0.38%-0.17%-0.85%-0.52%-0.12%
EUR0.26%-0.15%0.65%0.09%-0.58%-0.25%0.14%
GBP0.41%0.15%0.83%0.24%-0.43%-0.10%0.29%
JPY-0.38%-0.65%-0.83%-0.53%-1.21%-0.86%-0.48%
CAD0.17%-0.09%-0.24%0.53%-0.68%-0.34%0.05%
AUD0.85%0.58%0.43%1.21%0.68%0.33%0.73%
NZD0.52%0.25%0.10%0.86%0.34%-0.33%0.40%
CHF0.12%-0.14%-0.29%0.48%-0.05%-0.73%-0.40%

The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the Japanese Yen from the left column and move along the horizontal line to the US Dollar, the percentage change displayed in the box will represent JPY (base)/USD (quote).

Author

Christian Borjon Valencia

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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