GBP/JPY: Analysis, Outlook and Forecasts

GBP/JPY (British Pound - Japanese Yen) outlook and forecast is presented by the team of ForexAbode's analysts and is followed by the traders around the world. The outlook takes into account the various factors which can affect the future price-action of GBP/JPY. The factors to analyze the outlook are geo-political news, fundamentals including major economic releases and technical factors but most importantly we focus on the price-action analysis.

 

The outlook reflects our views for short-term to mid-term movement of the currency pair. However, sometimes the analysis takes into account the price-data which may span many years and have a longer-term view. This is also supported by our very popular chart alerts.

 

The weekly analysis includes the predictions for the next week's expected moves for the pound sterling and Japanese yen. However, the forecast is not only limited to the coming week but is applicable for the overall expectations for the near-term to longer-term. Apart from the weekly forecasts we also update GBP/JPY daily technical analysis, which presents our views about the price-action from short-term perspective.

 

You may also like to check the following resources for trading GBP/JPY:

 

 

GBP/JPY Weekly Outlook - Aug 19, 2012

Written By : ForexAbode.com || 2012-08-19 00:00:00 GMT

GBP/JPY Outlook:   The British Pound-Japanese Yen (GBP/JPY) had a sharp upward jump. The currency pair went as high as 124.97 but during the end of the week remained in sideways mode below the psychological level of 125.00.

GBP/JPY Weekly Outlook - Aug 12, 2012

Written By : ForexAbode.com || 2012-08-12 00:00:00 GMT

GBP/JPY Outlook:   The British Pound-Japanese Yen (GBP/JPY) kept on finding resistance just below the 55-day EMA and moved sideways between 121.74 and 123.26. The currency pair closed for the week at 122.80 against the previous weekly closing of 122.72. The overall outlook for GBP/JPY stays bearish but the price action of past two week makes the near-term outlook neutral.

GBP/JPY Weekly Outlook - Aug 05, 2012

Written By : ForexAbode.com || 2012-08-05 00:00:00 GMT

GBP/JPY Outlook:   The British Pound-Japanese Yen (GBP/JPY) could not break above the high of last to last week i.e. 123.77 or the 55-day EMA resistance. The pair had fallen sharply. On the other side the currency pair's fall failed to retest the previous low of 120.83 and almost an equally strong upward jump came from 121.09.

GBP/JPY Weekly Outlook - Jul 29, 2012

Written By : ForexAbode.com || 2012-07-29 00:00:00 GMT

Fundamentals (Recent economic releases) The British Pound-Japanese Yen (GBP/JPY) broke the supports mentioned last week and had gone as low as 120.83 before a sharp upward jump to 123.77 before it closed for the week at 123.51. Please note that the resistance came just below 55-day EMA and it is yet to be seen if this resistance holds or not.

GBP/JPY Weekly Outlook - Jun 23, 2012

Written By : ForexAbode.com || 2012-07-23 00:00:00 GMT

Fundamentals (Recent economic releases) 1. UK (GBP): Public Sector Net Borrowing: GBP 15.870B, negative as compared to the forecasts (GBP 14.400B) as well as the previous 9.938B Pounds.2. UK (GBP): GDP (prelim): Year on year change 0.0%, negative as compared to the forecasts (0.3%) as well as the previous 0.5%. Month on month change -0.2% was slightly better than the previous -0.3% but less than the expected 0.1%.3.

GBP/JPY Weekly Outlook - Jul 22, 2012

Written By : ForexAbode.com || 2012-07-22 00:00:00 GMT

Fundamentals (Recent economic releases) 1. ADX: GBP/JPY daily +DI line remains below -DI line with a convincingly wide bearish gap. ADX is now over 25 and is rising  (approx 28.00 from last week's 23:00). 2. MACD: GBP/JPY daily MACD line remains below the signal line. The gap had narrowed down and it was almost touching the signal line but there has been a slight bearish widening up again. 3.

GBP/JPY Weekly Outlook - Jul 14, 2012

Written By : ForexAbode.com || 2012-07-14 00:00:00 GMT

Fundamentals (Recent economic releases) 1. UK (GBP): Industrial Production: Year on year change -1.6%, positive as compared to the forecasts (-2.1%) as well as the previous -2.0%. 2. UK (GBP): Manufacturing Production: Year on year change -1.7%, slightly better than the consensus of -1.9% but less than the previous -1.5%. 3. UK (GBP): NIESR GDP Estimate (3 months): -0.2% i.e. negative as compared to the previous 0.1%. 4.

GBP/JPY Weekly Outlook - May 27, 2012

Written By : ForexAbode.com || 2012-05-27 00:00:00 GMT

Fundamentals (Recent economic releases) 1. UK (GBP): Public Sector Net Borrowing: GBP 15.870B, negative as compared to the forecasts (GBP 14.400B) as well as the previous 9.938B Pounds.2. UK (GBP): GDP (prelim): Year on year change 0.0%, negative as compared to the forecasts (0.3%) as well as the previous 0.5%. Month on month change -0.2% was slightly better than the previous -0.3% but less than the expected 0.1%.3.

GBP/JPY Weekly Outlook - May 12, 2012

Written By : ForexAbode.com || 2012-05-12 00:00:00 GMT

Fundamentals (Recent economic releases) 1. UK (GBP): Public Sector Net Borrowing: GBP 15.870B, negative as compared to the forecasts (GBP 14.400B) as well as the previous 9.938B Pounds.2. UK (GBP): GDP (prelim): Year on year change 0.0%, negative as compared to the forecasts (0.3%) as well as the previous 0.5%. Month on month change -0.2% was slightly better than the previous -0.3% but less than the expected 0.1%.3.

GBP/JPY Weekly Outlook - May 06, 2012

Written By : ForexAbode.com || 2012-05-06 00:00:00 GMT

Fundamentals (Recent economic releases) 1. UK (GBP): Public Sector Net Borrowing: GBP 15.870B, negative as compared to the forecasts (GBP 14.400B) as well as the previous 9.938B Pounds.2. UK (GBP): GDP (prelim): Year on year change 0.0%, negative as compared to the forecasts (0.3%) as well as the previous 0.5%. Month on month change -0.2% was slightly better than the previous -0.3% but less than the expected 0.1%.3.

Interest Rates difference of GBP and JPY

GBP to JPY Interest Rates Comparison
(For Carry Trades)
Pound sterling (GBP) interest rate
0.50%
Japanese yen (JPY) interest rate
0.10%
GBP/JPY interest rate comparison
0.40%

Overall Price-Action Trend of GBP/JPY

Please refer the following monthly chart of 10-year historical price-action to check the overall GBP/JPY trend.

Monthly chart of GBP/JPY, indicating the overall trend.

 

Main observations for GBP/JPY historical price-action and outlook for the near future

  • The attempt of recovery, after the great fall during the economic crisis of 2008-2009, had found very strong resistance in the range of 162.55 to 163.07. GBP/JPY managed to break over that resistance.
  • Not only the above mentioned resistance was taken out but that previous resistance seems to be acting as support now and that indicates bullish sentiments.
  • The pair also completed the 38.2% retracement and broke over that resistance as well.
  • GBP/JPY's recent high was 174.84 during the beginning of January 2014. Since then the price-action has been staying below that. This fact is indicating the psychological resistance of 175.00. However, the recent lows have been getting higher and that also indicates that the pair may take out the resistance of 175.00 sooner or later.

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