GBP/JPY Price Forecast February 13, 2018, Technical Analysis

The British pound has been choppy during Monday trading against the Japanese yen, as it looks like there is a certain amount of concern by traders around the world it comes to risk assets. This generally shows up in stock markets, commodity markets, and the like. As they fall, it’s typical that the British pound will fall against the Japanese yen as this pair is silver sensitive. The 150 level of course is psychologically important, so if we break down below that level significantly, I think that we could continue to go lower. In fact, I believe that we could revisit the lows based upon the action that I am seeing. Alternately, if we can break above the 151 handle then I think we can go a bit higher but there is a lot of noise just above that will cause issues.

Overall, the market looks likely to be choppy at the very least, but I think that longer-term traders are probably going to continue to look at this as a potential buying opportunity. However, if you are going to do the same, it’s probably best to buy in small increments because we could see a bit of volatility and of course negativity in the short term. Once we clear the 151 handle, it’s likely that we will see more buying pressure command, but again I expect to see noise above. This is not going to be an easy long to take.

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