GBP/JPY Forecast: Falls Against The Yen


(MENAFN- Daily Forex)
  • The gbp/jpy tried to rally during Tuesday's trading session but gave back gains as the market continued to show a lot of noise near the ¥168 level.
  • The market is highly sensitive to risk appetite and appears to be a "risk off market" at the moment.
  • However, there are opportunities for investors to buy underneath the pickup value.

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The ¥165 level is an area where investors should consider buying on a potential bounce, but the market needs to find buyers in that area first. The market remains highly volatile, and various factors are influencing the price action in this market. Investors need to evaluate whether the market is taking a lot of risks and act accordingly.

The Friday candlestick bounced rather hard from the ¥165 level, indicating that it is a significant support level to watch. If the market breaks above the little "micro double high" that was formed at the ¥168 level, it could open up the possibility of a move to the ¥169.50 level where a lot of selling pressure has been observed previously. A break above that level could threaten a breakout above the psychologically significant ¥170 level and attract more momentum buying.Volatility Ahead

The market is expected to show a lot of back-and-forth with plenty of buyers trying to pick up signs of value as they occur.
Investors should proceed with caution when considering investments in the market and should be aware of potential risks and rewards.

The British pound is a major currency in the global economy, and its movements have far-reaching implications. The currency market is complex, and investors must closely monitor various indicators to make informed investment decisions. Understanding the market and its various nuances is essential for anyone looking to invest in the British pound market.

At the end of the day, the British pound continues to show volatility in the market, and investors should be cautious when considering investments. The market is sensitive to risk appetite, and investors should pay close attention to significant support and resistance levels to make informed decisions. While there may be opportunities for profit in the market, it is important to remain vigilant and to proceed with caution. Cutting position size could be one way, or simply moving over to a slower market like the CHF/JPY might suffice as well, as the bulk of movement seems to be coming from the yen more than anything else at the moment.

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