www.varchev.com

GBP / JPY in range – what to expect?

GBP / JPY consolidated in the early European session and fell to a new low during the day, close to 153,500 in the last hour.

The cross is trying to find a clear direction by trading in a range between 152,500-154,200. Concerns about the growing number of COVID-19 cases in Europe and the re-imposition of blocking measures continued to weigh on investor sentiment. This was evident from the softer tone around the stock markets, which led to some security flows to the Japanese yen and proved to be a key factor that triggered new sales around the GBP / JPY pair.

On the other hand, the deadlock over the post-Brexit agreement in Northern Ireland and fishing rights continued to hurt the British pound. A senior German diplomat called on the United Kingdom to abide by the Protocol on Northern Ireland and warned that the dispute was not a game. French fishermen have reportedly planned to block British ships’ access to French ports in protest of Britain’s refusal to grant them more licenses to work in UK territorial waters.

Meanwhile, the pair’s inability to gain any significant power suggests that the forthcoming rise in interest rates by the Bank of England in December is fully priced in the markets.

This in turn favors bear traders and supports the prospect of a further short-term decline in GBP / JPY. In the absence of any major market economic communications, broader market risk sentiment and Brexit-related headlines will be considered for some short-term trading opportunities.

GBP / JPY chart:

The GBP / JPY chart shows that the pair is in the range and at a break of 154,200 the price would potentially start a new upward movement.

Alternatively, closing below the level of around 152,400 and breaking the trend line will be an indication of a deeper decline. The price remains in its range trading until a clear break is formed.


 Varchev Traders

Comments:

Leave a Reply

Login to comment

* Rough, sarcastic and ironic language is not allowed. For such Admins Delete without notice.

Varchev Absolute Trader

борсова платформа

  • Търгувай над 3000 финансови инструмента: Crypto, Форекс, Акции, Индекси, Суровини, ETF-и
  • Използвай платформа с директно изпращане ордерите на борсите
  • Best Trading Platform - "Online Personal Wealth Awards" EU награждава Varchev Absolute Trader
  • Cloud base платформа - твоят трейдинг сетъп на всяко устройство
  • Traders Talk - чуй какво движи пазарите в реално време
  • Market Sentiment - търгувай с настроенията на инвестиционите банки
  • Top movers - най-горещите трейдове във всеки един момент
  • Stocks scanner - филтрирай най-подходящите за твоя трейдинг стил пазарни инструменти
  • Heat map - Търгувай в посоката на големите играчи


Read more:
RECCOMEND WAS THIS POST USEFUL FOR YOU?
If you think, we can improve that section,
please comment. Your oppinion is imortant for us.
WARNING: Any news, opinions, research, data or other information contained within this website is provided as general market commentary and does not constitute investment or trading advice. Varchev Finance Ltd. expressly disclaims any liability for any lost principal or profits which may arise directly or indirectly from the use of or reliance on such information. Varchev Finance Ltd. may provide information, quotes, references and links to or from other sites and blogs and other sources of economic and market information as an educational service to its clients and prospects and does not endorse the opinions or recommendations of the sites, blogs or other sources of information.
Varchev Finance