GBP/JPY Price Forecast: Breaking Sellers’ Eyes Below the 100-Day SMA

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GBP/JPY retreats by 0.21% during Thursday’s North American session as sterling depreciates, even as the Bank of England (BoE) keeps interest rates unchanged. At the time of writing, the cross pair was trading at 213.11, having peaked near 214.06.

GBP/JPY Price Forecast: Technical Outlook

From a price action perspective, the GBP/JPY pair is neutral, although the yen has shown signs of recovery over the past few trading days, forcing the cross pair to test key support at the 100-day plain moving average (SMA) at 212.79.

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The relative strength index (RSI) shows that momentum favors further declines, with the index trending lower at 41.68. Therefore, the GBP/JPY pair may continue to decline.

If GBP/JPY decisively breaks the 199-day SMA, the next support will be the May 18 intraday low of 211.26. Below is the April 30 low of 210.45, before the cross heads towards the 200-day SMA at 209.32.

On the other hand, GBP/JPY needs to settle the 50-day SMA at 214.25 to allow buyers to clear the 215.00 milestone. The next area of ​​concern is the 216.00 mark.

GBP/JPY price chart – daily

GBP/JPY daily chart

Japanese yen price this week

The table below shows the percentage change in the Japanese Yen (JPY) against the major currencies traded this week. The Japanese yen was strongest against the British pound.

USD EUR GBP JPY BOOR AUD NZD CHF
USD 1.01% 1.58% 0.74% 1.03% 0.40% 1.26% 1.02%
EUR -1.01% 0.53% -0.24% 0.00% -0.63% 0.25% 0.00%
GBP -1.58% -0.53% -0.96% -0.51% -1.16% -0.27% -0.52%
JPY -0.74% 0.24% 0.96% 0.27% -0.35% 0.55% 0.26%
BOOR -1.03% -0.01% 0.51% -0.27% -0.66% 0.29% -0.01%
AUD -0.40% 0.63% 1.16% 0.35% 0.66% 0.89% 0.64%
NZD -1.26% -0.25% 0.27% -0.55% -0.29% -0.89% -0.25%
CHF -1.02% -0.00% 0.52% -0.26% 0.00% -0.64% 0.25%

The heat map shows the percentage changes of the major currencies relative to each other. The base currency is selected from the left column and the quote currency from the top row. For example, if you select Japanese Yen from the left column and move along the horizontal line to the US Dollar, the percentage change displayed in the box will represent JPY (base)/USD (quote).

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