GBPJPY has been in a bullish trend, continuing with higher highs and higher lows. The support level is at 167, where we need to wait for the retest of the pair. Market is standing at the resistance level right now. It either needs to correct its move from this resistance or breakout buy, to continue moving further up. Market is already forming higher highs and higher lows.

The descending trendline is on the verge of being broken out for buys, and once validated with the price action opening and closing above the trendline, we will have confirmations for the bullish move.

The retracement level on the pair is in confluence with the support level at the level of 167.

EMA 50 is bullish now. There are two conditions in this regard, either the market breaks it and continues moving up or it retests it, moves back down to retest the resistance turn support, and continue moving up. Lets see how the price action plays out.

RSI is at 71 which means market needs to be neautralized at the level of 50, along with other technical factors aligned with it. Market is near the over bought region where there is a divergence to be formed. 

GBPJPY still bullish

Dec 12 2022