GBP/JPY Holds Above 193.00 as Buyers Target 195.00

GBP/JPY Price Prediction: Remains Strong Above 193.00 as the Pair Bottoms

The GBP/JPY currency pair continues to exhibit strength, holding above the 193.00 level as Friday’s Asian session unfolds. The pair appreciated by over 0.23% on Thursday, bouncing from lows near the 192.00 mark. As of now, GBP/JPY is trading around 193.14, showing modest fluctuations with a slightly bullish tone.

Market Sentiment and Fundamentals

Improved risk sentiment across global markets is offering support to the British pound, helping it gain ground against the Japanese yen. The yen, often favored in risk-off environments, is under slight pressure amid the market’s optimistic tone.

Technical Outlook

From a technical perspective, the daily chart shows the pair trading within a sideways range but with a positive bias. Last week, GBP/JPY briefly breached a strong confluence support zone formed by the 200-day Simple Moving Average (SMA) at 192.48 and the 20-day SMA at 192.74. Despite the break, sellers failed to secure a daily close below these levels, allowing buyers to step in and regain control.

Currently, the pair is holding above the 193.00 psychological level. For the bullish momentum to continue, buyers must clear the May 22 high of 193.58 and then challenge the 194.00 barrier. A successful break above these levels would expose the next resistance at the Tenkan-sen level of 194.33, followed by a potential move towards the 195.00 handle.

Key Levels to Watch

• Resistance: 193.58 (May 22 high), 194.00, 194.33 (Tenkan-sen), 195.00
• Support: 193.00, 192.48 (200-day SMA), 192.00, 191.00

Conclusion

As long as GBP/JPY stays above 193.00, the outlook remains cautiously optimistic. However, failure to hold this level could see the pair test deeper support zones near 192.00 and potentially 191.00. Traders will be closely watching the upcoming sessions for a decisive move above resistance or a bearish breakdown.