GBP/JPY Forecast May 20, 2016, Technical Analysis

The GBP/JPY pair tried to rally during the day on Thursday, but pulled back to form a shooting star. The candle looks negative, but there should be a lot of support below, especially at the 158 level. A break above the shooting star could send this market even higher, perhaps all the way to the 165 level over the longer-term. The market will continue to be volatile, but ultimately we are looking at a market that overall will prefer the upside at this point in time. Position sizes will probably be best kept small.