GBP/JPY Price Forecast: Can a bullish harami break through 213.00 resistance?

Fresh buying interest emerges in GBP/JPY as a potential bullish harami takes shape.
Although an advancing RSI favours a recovery, the SMA confluence at 212.92-213.02 caps the upside.
A move through 213.02 would bring 216.62 into focus, followed by psychological resistance at 217.00.

Buying interest in GBP/JPY remains tentative, with choppy trading accompanying Wednesday’s gain of 0.17%. The pair continues to trade within Tuesday’s daily range of 211.44-212.65, suggesting a potential ‘bullish harami’ or inside day pattern near a crucial resistance zone.

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GBP/JPY Price Forecast: Can the Technical Recovery Extend?

A recovery became possible after GBP/JPY rebounded from a test of a crucial support trendline near 211.33 on Monday. Fresh buying positions remain limited, however, as the 100- and 200-day Simple Moving Averages (SMAs), at 212.92 and 213.02 respectively, converge to form significant resistance. A break above the latter would put the 2 September high of 216.62 in focus, followed by a test of 217.00 by buyers.

Should GBP/JPY turn lower, Monday’s low of the day (LOD) at 211.33 offers initial support. Beyond that lies the psychological 211.00 mark, with the 50-day SMA at 210.00 providing the next support level.

Momentum also points to further gains, with the Relative Strength Index (RSI) in bullish territory and heading higher.

GBP/JPY Daily Price Chart: How Does the Setup Look?

How Is the Japanese Yen Performing Today?

The Japanese Yen’s strongest performance today was against the Swiss Franc. Its percentage moves against the major currencies listed are shown in the table below.

	USD	EUR	GBP	JPY	CAD	AUD	NZD	CHF
USD		0.63%	0.50%	0.67%	0.41%	0.22%	0.67%	0.92%
EUR	-0.63%		-0.12%	0.05%	-0.22%	-0.40%	0.05%	0.29%
GBP	-0.50%	0.12%		0.17%	-0.09%	-0.28%	0.17%	0.42%
JPY	-0.67%	-0.05%	-0.17%		-0.26%	-0.44%	0.02%	0.25%
CAD	-0.41%	0.22%	0.09%	0.26%		-0.18%	0.27%	0.51%
AUD	-0.22%	0.40%	0.28%	0.44%	0.18%		0.45%	0.70%
NZD	-0.67%	-0.05%	-0.17%	-0.02%	-0.27%	-0.45%		0.22%
CHF	-0.92%	-0.29%	-0.42%	-0.25%	-0.51%	-0.70%	-0.22%

Percentage movements between the major currencies are displayed in the heat map. Select the base currency in the left-hand column and the quote currency in the top row. For instance, selecting the Japanese Yen on the left and following its row across to the US Dollar gives the percentage change for JPY (base)/USD (quote) in the corresponding cell.