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8 Apr 2013
Forex: GBP/JPY moves above 151 first time in 3 years
FXstreet.com (Barcelona) - GBP/JPY is last at 151.03, off fresh 3.5-year highs at 151.65, on the back of continued Yen weakness due to recent comments on more bond purchases from BoJ that initially expected. “Now that the BOJ has pulled out the bond/QE bazooka (making Bernanke look like a miser in this area), the JPY has gotten hammered and I don't think this will stop soon,” says 2ndSkiesForex founder Chris Capre.
The cross broke past Thursday post-BoJ a symmetrical triangle it had built since mid Feb to the upside, adding more than +7.5% gains in last 2 trading days, making Pound the strongest currency among majors in that time period, while Yen being the weakest. According to Chris: “I think this will go much further than people expect,” the analyst notes, adding: “I'm looking to get bullish at the 150 (big figure) and 148 pullback / role reversal levels, with the latter being the yearly high that got annihilated last week.”
“Upside targets will be the 2009 Oct. highs at 153, and a much longer target of 162.30 which is the 2009 double top highs for the same year,” Mr Capre expands.
The cross broke past Thursday post-BoJ a symmetrical triangle it had built since mid Feb to the upside, adding more than +7.5% gains in last 2 trading days, making Pound the strongest currency among majors in that time period, while Yen being the weakest. According to Chris: “I think this will go much further than people expect,” the analyst notes, adding: “I'm looking to get bullish at the 150 (big figure) and 148 pullback / role reversal levels, with the latter being the yearly high that got annihilated last week.”
“Upside targets will be the 2009 Oct. highs at 153, and a much longer target of 162.30 which is the 2009 double top highs for the same year,” Mr Capre expands.