GBP/JPY: More Gains Likely In British Pound Ahead of UK Labor Report
Key Highlights · The British Pound remained in an uptrend against the Japanese yen with support on the downside at 145.30. · There is a monster bullish trend line formed on the 4-hours chart of GBP/JPY, acting as a bullish trend supporter. · Today in the UK, the Claimant Change figure will be released by the National Statistics, which is forecasted to post a reading of 5.5K in Nov 2016. · In Japan, the Tankan Large All Industry Capital Expenditure released by the Bank of Japan posted a rise of 5.5% in Q3 2016.
GBP/JPY Technical Analysis The British pound is in a major uptrend against the Japanese yen, and it looks like the GBP/JPY pair is poised for further gains in the short term.
GBP/JPY 4 Hour Chart
When we look at the 4-hours chart of GBP/JPY, there is a monster bullish trend line formed, acting as a support. The pair recently broke the last swing high of 146.03 and tested the 1.236 extension of the last decline from the 146.03 high to 142.99 low at 146.75.
There is a chance of a minor dip towards the trend line support before it trades higher once again. The next stop could be around the 1.618 extension of the last decline from the 146.03 high to 142.99 low at 147.91. Overall, the trend is positive for the GBP/JPY pair with a major support at 145.30.