23 Dec 2013
GBP/JPY back above 170.00 but remains sideways
FXstreet.com (Córdoba) - The GBP/JPY moved in a range of 60 pips during a quiet Monday, reaching a daily high at 170.34 during the American session and bottomed earlier, at 169.76. Cable manged to finished above 170.00 and currently trades at 170.24 near Monday's highs but still continues to move sideways in the short-term, with resistance near 170.40 and support at 169.75/80 (December 20, 23 lows).
Long-term outlook for the GBP/JPY
The pair is about to end the year with gains for the second year in a row and during 2013 has risen so far almost 3,000 pips. The bias remains to the upside. According to analysts at MIG Bank, recent correction in the GBP/JPY has been mild, suggesting that still persists a strong buying interest.
“In the longer term, the break of the major resistance at 163.09 calls for further long-term strength towards the resistance at 179.17 (15/08/2002 low). However, the deep overbought conditions suggest some short-term caution”, MIG analysts wrote, concluding that the long-term bullish perspective would continue in place as long as 154.73 holds.
Long-term outlook for the GBP/JPY
The pair is about to end the year with gains for the second year in a row and during 2013 has risen so far almost 3,000 pips. The bias remains to the upside. According to analysts at MIG Bank, recent correction in the GBP/JPY has been mild, suggesting that still persists a strong buying interest.
“In the longer term, the break of the major resistance at 163.09 calls for further long-term strength towards the resistance at 179.17 (15/08/2002 low). However, the deep overbought conditions suggest some short-term caution”, MIG analysts wrote, concluding that the long-term bullish perspective would continue in place as long as 154.73 holds.