empty
28.11.2023 05:29 PM
GBP/JPY: flag pattern

The GBP/JPY pair dropped in the short term, which was natural after its strong leg higher. It could only test and retest the near term support levels before jumping higher again. The price is located at 187.56 at the time of writing. The bias remains bullish despite the current drop as the Yen Futures maintain a bearish outlook.

Fundamentally, the BOJ Core CPI reported only a 3.0% growth even if the traders expected a 3.4% growth. On the other hand, the UK BRC Shop Price Index increased by 4.3% less compared to 5.2% growth in the previous reporting period.

GBP/JPY Trading In The Green!

This image is no longer relevant

From the technical point of view, the GBP/JPY pair dropped within a down channel (flag pattern). This could represent a bullish formation.

It has found support on the 38.2% retracement level (187.03) and has now turned to the upside again. False breakdowns below 187.08 signaled exhausted sellers. Now, the instrument is challenging the 23.6% Fibonacci level (187.65). The downtrend line and 187.83 represent upside obstacles.

GBP/JPY Forecast!

Testing and retesting the flag's resistance and registering false breakouts should announce a new sell-off. Still, only a bearish closure below 187.00 activates more declines and is seen as a selling opportunity.

Jumping and closing above the downtrend line and above 187.83 validates upward movement. This brings new longs.

Ralph Shedler,
Analytical expert of InstaForex
© 2007-2025
Select timeframe
5
min
15
min
30
min
1
hour
4
hours
1
day
1
week
Earn on cryptocurrency rate changes with InstaForex
Download MetaTrader 4 and open your first trade
  • Grand Choice
    Contest by
    InstaForex
    InstaForex always strives to help you
    fulfill your biggest dreams.
    JOIN CONTEST

Recommended Stories

How to Trade the GBP/USD Pair on April 4? Simple Tips and Trade Analysis for Beginners

Analysis of Thursday's Trades 1H Chart of GBP/USD The GBP/USD pair also showed a strong upward movement on Thursday. Everything discussed in the EUR-related articles applies equally to the British

Paolo Greco 07:29 2025-04-04 UTC+2

How to Trade the EUR/USD Pair on April 4? Simple Tips and Trade Analysis for Beginners

Analysis of Thursday's Trades 1H Chart of EUR/USD The EUR/USD currency pair posted a strong upward move on Thursday. There was only one reason for this situation: Donald Trump. This

Paolo Greco 07:29 2025-04-04 UTC+2

Trading Recommendations and Analysis for GBP/USD on 4: Can Powell Fix the Situation?

The GBP/USD currency pair also showed a strong upward movement on Thursday. Naturally, this was driven by just one factor. Late Wednesday evening, Donald Trump announced introducing new tariffs

Paolo Greco 06:06 2025-04-04 UTC+2

Trading Recommendations and Analysis for EUR/USD on April 4: New Panic in the Market

The EUR/USD currency pair showed strong upward movement on Thursday. Frankly, we've been saying the same thing for the past two months: whenever the pair shows significant growth, it's only

Paolo Greco 06:06 2025-04-04 UTC+2

GBP/USD: Trading Plan for the U.S. Session on April 3rd (Review of Morning Trades)

In my morning forecast, I highlighted the 1.3098 level and planned to base entry decisions on it. Let's take a look at the 5-minute chart to see what happened

Miroslaw Bawulski 18:28 2025-04-03 UTC+2

EUR/USD: Trading Plan for the U.S. Session on April 3rd (Review of Morning Trades)

In my morning forecast, I highlighted the 1.0952 level and planned to make entry decisions from there. Let's look at the 5-minute chart and analyze what happened. A drop followed

Miroslaw Bawulski 18:25 2025-04-03 UTC+2

How to Trade the GBP/USD Pair on April 3? Simple Tips and Trade Analysis for Beginners

Analysis of Wednesday's Trades 1H Chart of GBP/USD On Wednesday, the GBP/USD pair surged by 160 pips and continues its rapid upward movement. Let us reiterate: we did not expect

Paolo Greco 07:26 2025-04-03 UTC+2

How to Trade the EUR/USD Pair on April 3? Simple Tips and Trade Analysis for Beginners

Analysis of Wednesday's Trades 1H Chart of EUR/USD The EUR/USD currency pair traded with gains on Wednesday, though this had nothing to do with the macroeconomic backdrop. The U.S. dollar

Paolo Greco 07:26 2025-04-03 UTC+2

Trading Recommendations and Analysis for GBP/USD on April 3: The British Pound Remains in a Flat Range

The GBP/USD currency pair continued to trade within a sideways channel on Wednesday. Over the past two weeks, all price movement has occurred between the 1.2863 and 1.2981 levels

Paolo Greco 03:53 2025-04-03 UTC+2

Trading Recommendations and Analysis for EUR/USD on April 3: No Tariffs, No Movement

The EUR/USD currency pair traded on Wednesday as it did on Monday and Tuesday. For most of the day, we observed low-volatility, erratic movements with no clear logic. No information

Paolo Greco 03:53 2025-04-03 UTC+2
Can't speak right now?
Ask your question in the chat.
Widget callback
 

Dear visitor,

Your IP address shows that you are currently located in the USA. If you are a resident of the United States, you are prohibited from using the services of InstaFintech Group including online trading, online transfers, deposit/withdrawal of funds, etc.

If you think you are seeing this message by mistake and your location is not the US, kindly proceed to the website. Otherwise, you must leave the website in order to comply with government restrictions.

Why does your IP address show your location as the USA?

  • - you are using a VPN provided by a hosting company based in the United States;
  • - your IP does not have proper WHOIS records;
  • - an error occurred in the WHOIS geolocation database.

Please confirm whether you are a US resident or not by clicking the relevant button below. If you choose the wrong option, being a US resident, you will not be able to open an account with InstaForex anyway.

We are sorry for any inconvenience caused by this message.