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 - Dec 29, 2013

Written By : ForexAbode.com || 2013-12-29 00:00:00 GMT

GBP/JPY had broken below 167.52 but had found support well over 165.88 which we had indicated during the previous update 2 weeks back and quoted above. The support had come at 166.58. During last week the pair went as high as 173.95 before closing for the week at 173.33. The outlook remains bullish for GBP/JPY.

GBP/JPY Weekly Outlook - Dec 14, 2013

Written By : ForexAbode.com || 2013-12-14 00:00:00 GMT

GBP/JPY moved as high as 170.05 before dropping to 167.52. Another recovery found resistance at 169.82 before another drop to 167.71 and weekly closing at 168.26. The break over 170.00 keeps the overall bullish sentiments intact but the fact that the price-action could not sustain and the failure came just 6 pips above this big psychological level keeps us neutral for GBP/JPY initially.

GBP/JPY Weekly Outlook - Dec 07, 2013

Written By : ForexAbode.com || 2013-12-07 00:00:00 GMT

GBP/JPY moved exactly as we had indicated during the past weekend. The pair went as high as 169.14 before dropping to 165.88. Another upward jumpy took it to 168.27 before the weekly closing at 168.23. By touching 168.12 the pair had completed the 38.2% retracement of the mighty fall from July 2007's 251.09. The resistance at 169.14 was natural because of the approaching strong psychological level of 170.00.

Is GBP/JPY Up For Reversal?

Written By : forexabode || 2013-12-01 06:45:35 GMT

Lehman Brothers had filed for bankruptcy on September 15th, 2008 and during that month GBP/JPY had shown a volatility of 1386 pips with the month's high as 198.31 and low as 184.45. But then which currency trader can forget the month of October 2008? During that one month GBP/JPY had moved 6101 pips. Such volatility is rare to be seen.

GBP/JPY Weekly Outlook - Nov 30, 2013

Written By : ForexAbode.com || 2013-11-30 00:00:00 GMT

GBP/JPY moved up further with strong momentum. The pair first broke above 163.05, which we had mentioned 2 weeks back and then broke over the psychological level of 165.00 to go as high as 167.90 before closing quite bullishly at 167.65. The very aggressive jump well beyond 165.00 has made the already existing bullish outlook even stronger.

GBP/JPY Weekly Outlook - Nov 17, 2013

Written By : ForexAbode.com || 2013-11-17 00:00:00 GMT

At last GBP/JPY broke over 160.00 and rather strongly. Last week we had mentioned that the possibilities of this break is high. The pair went as high as 161.65 before closing for the week at 161.45. As we had also mentioned during the last weekend that the subsequent highs are getting low. The first failure was at 159.99, the second at 159.96, the third at 159.53 and the fourth at 159.28.

GBP/JPY Weekly Outlook - Nov 09, 2013

Written By : ForexAbode.com || 2013-11-09 00:00:00 GMT

GBP/JPY remained in the volatile sideways mode. There was a slight break of 156.66 but 3 pips below that the support came at 156.63 and the subsequent jump took the currency pair to 159.28 before the weekly closing at 158.66. The outlook remains same for GBP/JPY as we had mentioned in the previous updates. We stay neutral for GBP/JPY.

GBP/JPY Weekly Outlook - Oct 26, 2013

Written By : ForexAbode.com || 2013-10-26 00:00:00 GMT

British Pound-Japanese Yen (GBP/JPY) moved as we have been indicating for past couple of weeks. The currency pair failed below 160.00 once again and dropped from 159.53. The support came at 156.86 i.e. in the support range indicated during the last weekend. The price closed for the week at 157.46. There have been three consecutive failures below the psychological level of 160.00. Not only that but the subsequent highs are getting low.

GBP/JPY Weekly Outlook - Oct 19, 2013

Written By : ForexAbode.com || 2013-10-19 00:00:00 GMT

British Pound-Japanese Yen (GBP/JPY) moved as we had indicated 2 weeks back. The currency pair had fallen to 154.73 before jumping to 158.68 and closing for the week at 157.96. Although the pair had broken below 155.00 psychological level but did not sustain and had jumped up almost immediately. This suggests that 155.00 is now acting as support.

GBP/JPY Weekly Outlook - Oct 05, 2013

Written By : ForexAbode.com || 2013-10-05 00:00:00 GMT

British Pound-Japanese Yen (GBP/JPY) had tried to move up again but failed below 160.00 psychological level again and then fell sharply. The currency pair even broke below the support of 157.92 indicated by us 2 weeks back and went as low as 155.73 before closing for the week at 156.04. The second failure below 160.00 and the subsequent strong fall suggests that further deeper consolidations cannot be ignored.

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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