GBP/JPY technical analysis: Looks north with inverse head-and-shoulders breakout on 1H

GBP/JPY is currently trading at 129.27, representing marginal gains on the day, and could rise to 130.00 in a day or two, as short duration charts are  |  19/08/2019 04:50
  • GBP/JPY's hourly chart shows an inverse head-and-shoulders breakout.
  • The breakout is backed by a bullish reading on the daily chart indicator and has opened the doors to 131.00.

GBP/JPY is currently trading at 129.27, representing marginal gains on the day,  and could rise to 130.00 in a day or two, as short duration charts are reporting a bullish reversal pattern.

Notably, the hourly chart shows an inverse head-and-shoulders breakout. The pattern has created a room for a rally to 131.00 (target as per the measured move method).

The case for a rally to 131.00 would further strengthen once the pennant pattern, a bullish continuation setup, seen on the hourly chart is breached to the higher side. As of writing, the upper edge of the pennant is seen at 129.37.

Supporting the bullish case is the daily chart moving average convergence divergence histogram's move above zero.

The bullish outlook would be invalidated if the pair finds acceptance below 129.50,

Hourly chart

Trend: Bullish

Pivot points

 

Share

Popular News

Show More Popular News

Market Insight's Views

Market Insight analyses will provide both fundamental and technical comprehensions on FX
and other asset classes for Market Insight viewers

RISK WARNING

The information provided herein is for general informational and educational purposes only. It is not intended and should not be construed to constitute advice.

If such information is acted upon by you then this should be solely at your discretion and GKFX will not be held accountable in any way.

  • ForexF
  • IndicesI
  • CommoditiesC
        Back

        Login to Market Insight Account

        Your Market Insight account gives you access to the tools that we offer our customers including our
        Technical Studies & Sentiment for your accounts.

        Forgot Password?

        Don't you have a Market Insight account? With a few easy steps you can easily register to Market Insight

        Create a Market Insight's Account

        Your Market Insight account gives you access to the tools that we offer our customers including our Technical Studies & Sentiment for your accounts.

        register_ty

        Thank you!

        Welcome to Market Insight family!

        You have succesfully completed the registration.
        We will send you an e-mail to give you some
        instructions and our Terms and Conditions!
        Our account representatives will be contacting you as
        soon as possible. If you have any further questions
        please do not hesitate to mail us via info@marketinsight.com