GBP/JPY Struggling to Build Back Up as BOJ Kuroda Signals Economic Slowdown
Arslan Butt • 1 min read
Early during the Asian opening, the BOJ’s Governor Kuroda acknowledged economic slowdown in the Japanese economy. The demand for haven currency Yen diminished after Karuda remarked BOJ must begin to investigate the potential reasons behind Japan’s sluggish inflation and lagging wage growth. Fortunately, our forex trading signal on GBP/JPY succeeded to get us nice early morning profits. Here’s a next trade…
Technical Outlook – Three White Soldiers
On Tuesday, the GBP/JPY fell dramatically for more than 250 pips as investors felt uncertain about the Italian elections next month. At the moment, the Guppy is facing a strong support above 143.500 and that’s exactly where I decided to open a buy signal today.
On the 3 hour chart, the GBP/JPY is forming a candlestick pattern called three white soldiers. It’s a bullish pattern in nature and signals a bullish sentiment of investors. On the other hand, the RSI and Stochastics have crossed above the midpoint of 50 supporting the bullish trend.
Speaking about resistance, the GBP/JPY has an immediate resistance up at 144.550. I will be looking to capture another 40 pips on the violation of 144.550 to target 145.250. Whereas, selling will be preferred below 145.250. The market is full of trade opportunities today, so keep following us for more forex trading signals.