The GBP/JPY dropped over 0.45% on Wednesday as sentiment in the market soured following unexpectedly high inflation data from the US. This news pushed US stocks down and heightened speculation that central banks might have to tighten their monetary policies. Currently, the pair is trading at 208.89 after reaching a peak of 210.31 earlier in the day.
GBP/JPY Price Forecast: Technical outlook
Before the US Consumer Price Index (CPI) was announced, the GBP/JPY managed to break through a downward resistance trendline, temporarily hitting its daily high. However, once the data came out, the Pound weakened while the Yen gained strength as a safe-haven currency, pushing the pair below 209.00 to its current levels.
The Relative Strength Index (RSI) indicates that bullish momentum has diminished, leaning towards a bearish perspective, which implies potential for further declines.
The first support level for GBP/JPY stands at 208.50. If it falls below this, it could drop to the low of 208.20 recorded on October 8, followed by 208.00. Clearing that level would lead to a potential test of the year-to-date low of 206.89, with another critical level at the December 16 cycle low of 206.78.
For any chance of a bullish reversal, prices need to first rise above 209.00, and then surpass the day’s high at 210.31. Should that happen, the September 18 high of 211.28 lies ahead, and breaching that could lead buyers to target the 50-day Simple Moving Average (SMA) at 214.43.
GBP/JPY Price Chart – Daily
Pound Sterling Price Today
The following table details the percentage changes of the British Pound (GBP) against several major currencies today. Notably, the British Pound stands out as the strongest against the Euro.
| USD | EUR | GBP | JPY | CAD | AUD | NZD | CHF | |
|---|---|---|---|---|---|---|---|---|
| USD | 0.41% | 0.50% | 0.02% | 0.13% | 0.18% | 0.32% | 0.31% | |
| EUR | -0.41% | 0.10% | -0.41% | -0.28% | -0.24% | -0.10% | -0.10% | |
| GBP | -0.50% | -0.10% | -0.50% | -0.39% | -0.33% | -0.19% | -0.20% | |
| JPY | -0.02% | 0.41% | 0.50% | 0.15% | 0.15% | 0.38% | 0.28% | |
| CAD | -0.13% | 0.28% | 0.39% | -0.15% | 0.04% | 0.20% | 0.21% | |
| AUD | -0.18% | 0.24% | 0.33% | -0.15% | -0.04% | 0.13% | 0.10% | |
| NZD | -0.32% | 0.10% | 0.19% | -0.38% | -0.20% | -0.13% | 0.01% | |
| CHF | -0.31% | 0.10% | 0.20% | -0.28% | -0.21% | -0.10% | -0.01% |
This table indicates the percentage changes of major currencies against one another, with the base currency listed in the left column and the quote currency in the top row. For instance, selecting the British Pound from the left and moving horizontally to the US Dollar shows the percentage change reflected in that box for GBP (base)/USD (quote).
