Oversold GBP/JPY Looking for Retracement – Get Ready to Capture It!

GBP/JPY has violated a strong support level of 147. That's the same level which supported the GBP/JPY on Nov 18. Anyhow, the pair has...


The Japanese yen took a bullish turn after better than expected Producers Price Index (PPI) figures. The figures beat the forecast of 2.8% vs 2.9%, earning bulls for the Japanese Yen.

Technically speaking, the GBP/JPY has violated a strong support level of 147. That’s the same level which supported the GBP/JPY on October 18. Anyhow, the pair has entered the oversold zone (RSI below 20), giving us an opportunity to encash the correction and we did by taking a buying trade above 146.400 to target 146.750.

Support Resistance
147.21 148.41
146.75 149.16
145.55 150.36
Key Trading Level: 147.95

What’s My Plan?
I’m thinking of entering a sell position below 146.950 to target quick 40 pips. Whereas on the lower side, I will be looking for a buying signal above 143.250 with 20 pips stop loss.

Good luck!

ABOUT THE AUTHOR See More
Arslan Butt
Index & Commodity Analyst
Arslan Butt serves as the Lead Commodities and Indices Analyst, bringing a wealth of expertise to the field. With an MBA in Behavioral Finance and active progress towards a Ph.D., Arslan possesses a deep understanding of market dynamics.His professional journey includes a significant role as a senior analyst at a leading brokerage firm, complementing his extensive experience as a market analyst and day trader. Adept in educating others, Arslan has a commendable track record as an instructor and public speaker.His incisive analyses, particularly within the realms of cryptocurrency and forex markets, are showcased across esteemed financial publications such as ForexCrunch, InsideBitcoins, and EconomyWatch, solidifying his reputation in the financial community.

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