GBPJPY: Key Resistance in Focus This Week - Breakout Potential?

4 mar

GBPJPY faces a critical juncture this week, with a formidable monthly resistance level at 193.659 coming into view. If the pair can surmount this hurdle, it could unlock a significant upside move towards 214.005, with limited resistance in the way.

Technical Analysis:

GBPJPY has been in a strong uptrend since the beginning of the year, gaining over 17%.
The pair is now approaching a key monthly resistance level at 193.659.
A break above this level could signal further bullish momentum, with a potential target of 214.005.
There is limited resistance between 193.659 and 214.005, suggesting that the pair could make a significant move if it breaks above the resistance level.

Fundamental Factors:

• The Bank of England (BoE) is expected to raise interest rates at its next meeting in March.
  
• This could support the pound sterling against the Japanese yen.
  
• The Japanese economy is facing headwinds from rising inflation and a weak yen.
  
• This could weigh on the Japanese yen and support GBPJPY.
  
  Conclusion:
  
  GBPJPY is poised for a significant move this week. A break above the key resistance level at 193.659 could signal further bullish momentum, with a potential target of 214.005. Traders should closely monitor GBPJPY's price action around the 193.659 level this week. A breakout above this resistance could indicate further bullish momentum, while a rejection could indicate a potential pullback.
  
  Additional Information:
  
  
  • The pair has already broken the monthly pivot and pulled back to it, which could be a bullish signal.
    
  • The RSI indicator is also showing bullish momentum, with a reading of 65.
    
  • The MACD indicator is also bullish, with a crossover above the signal line.
    
  
  
  Disclaimer:
  
  This is not financial advice. I am not a financial advisor. Please do your own research before making any investment decisions.