For GBP-JPY traders, TipRanks’ indicators offer a mixed bag of bullish and bearish signals. GBP-JPY is the forex pair for those who thrive on chaos. This is the realm where volatility reigns supreme. TipRanks has served up some juicy indicators that paint both bullish and bearish pictures, depending on your timeframe. Let’s dissect these indicators and see if we can figure out which way the wind is blowing.
Long-Term Outlook
The 20-period EMA on the one-month timeframe is hanging out at 180.0050, while GBP-JPY is partying at 199.1870. That’s a clear Buy signal. In addition, the 50-period EMA is chilling at 167.1628. With the price way above, it’s another solid buy. However, the MACD indicator is at 9.5596, whispering, “Sell.” This suggests the bullish party might be winding down.
So, the long term looks pretty bullish, with prices soaring above EMAs, but MACD is giving us the side-eye. In other words, don’t be surprised to see a dip in the near future.
Moving to the two-week timeframe, the 20-period EMA is at 187.6927, while the 50-period EMA is at 177.6928. The price is comfortably above both, giving another Buy nod. However, the MACD indicator, at 5.6820, suggests selling.
Short-Term Outlook
Looking at the weekly timeframe, the 20-period EMA is sitting at 191.5116, and GBP-JPY’s price is at 199.1870, which screams Buy. The 50-period EMA is at 185.3181, and with the price well above, it’s a double Buy. The MACD indicator is at 3.4548, nudging us towards Selling. Could a pullback be looming?
For short-term traders, the pair looks bullish, but the MACD says don’t get too comfy—there might be some bumps ahead.
Last but not least, the daily 20-period EMA is at 195.7053, and with the price at 199.1870, it’s another Buy signal. The 50-period EMA is at 193.4638, and the price is still comfortably above, making it a Buy. The MACD indicator is at 1.4829, hinting at selling.
Across the board, two main technical conditions are occurring:
- GBP-JPY’s price is above the EMAs.
- The MACD is flashing Sell.
While the overall trend is bullish, GBP-JPY might be overbought. Someone looking to enter long where it’s at might end up holding onto some pain while the GBP-JPY retraces. Sometimes, not taking a trade is the best option.
