FxNews—The British Pound trades in a bear market against the Japanese Yen at approximately 184.9. The new bearish wave began from the %50 Fibonacci retracement level at 194 and extended to 183.7, the September 11 low.
The GBP/JPY 4-hour chart below demonstrates the price, key support and resistance levels, and the technical indicators utilized in today’s analysis.
GBPJPY Technical Analysis – 13-September-2024
The currency pair’s price is below the 50- and 100-period simple moving averages, meaning the primary trend is bearish. Furthermore, the GBP/JPY price is below the super trend line, signifying that the bear market prevails.
Overall, the technical indicators suggest the primary trend is bearish and will likely continue to lower support levels.
GBP/JPY Bearish Scenario
The immediate support is at the September 13 low (183.7). From a technical standpoint, the downtrend will likely resume if the bears (sellers) close and stabilize the price below 183.7. If this scenario unfolds, the next bearish target will likely be the August 2024 low at 180.
Please note that the critical resistance for the bearish scenario rests at 187.3, the Super trend indicator. If the price surpasses this resistance, the downtrend should be invalidated.
GBP/JPY Bullish Scenario
The immediate barrier for the bulls lies at 187.3. If the price exceeds this resistance, it can aim for the 38.2% Fibonacci at 190.8. Furthermore, if the buying pressure exceeds 190.8, the next resistance level will be the 50% Fibonacci at 194.
Please note that the 50-period simple moving average will support the bullish scenario.
GBP/JPY Support and Resistance Levels
Traders and investors should closely monitor the key levels below to make informed decisions and adjust their strategies accordingly as market conditions shift.
- Support: 183.7 / 180.0
- Resistance: 187.3 / 190.8 / 194.0