GBP/JPY Hits Take Profit – What’s Next?
Arslan Butt • 1 min read
Fellas, the financial markets are still lacking volatility due to the national holiday in China and Japan. Yet, team FX Leaders managed to begin the week with green pips in the GBP/JPY trading signal.
As you know, the U.S. Federal Reserve is set to increase interest rates by 25 base points for the eighth time since late 2015. Speculators think the bets that interest rate differentials within the United States and other major economies, particularly Europe, will grow wider. Consequently, investors may end up doing carry trading.
Considering this, the traders seem to trade the Japanese crosses, perhaps, that’s the reason behind a movement in the GBP/JPY.
The technical outlook of the GBP/JPY looks bullish as the pair has a strong support at 147 and the 50 periods EMA is also supporting the pair at the same level. On the upper side, the resistance prevails at 148.550 and that’s where I will be looking to take a sell position later today. Stay tuned to FX Leaders for more forex trading signals. Good luck!