GBPJPY Pivot Point

GBP/JPY Price Analysis – Pivot Point Levels and Market Insight Dec 2024

In this GBP/JPY 15-minute chart analysis, we see the British Pound trading against the Japanese Yen at 194.165, reflecting minor downward pressure of -0.03%.

Key Technical Highlights

1. Pivot Points are plotted to provide support (S1-S4) and resistance (R1-R4) levels.

   • Resistance Levels

     • R1: 194.026

     • R2: 194.174

     • R3: 194.321

     • R4: 194.764

   • Support Levels

     • S1: 193.722

     • S2: 193.584

     • S3: 193.437

     • S4: 192.994

2. Current Price Movement

   • The pair is trading just above R1 (194.026) but below R2 (194.174). The price seems to be consolidating in a tight range, indicating indecisiveness and lower volatility.

   • If GBP/JPY breaks above R2 (194.174), the next target could be R3 (194.321), followed by R4 (194.764) for bullish continuation.

   • On the downside, failure to hold above R1 (194.026) could lead the pair to test support at S1 (193.722), and potentially extend downward to S2 and S3 if sellers strengthen.

3. Donchian Channel (DC)

   • The blue Donchian Channel bands suggest market volatility zones, with the price trading closer to the upper band. This indicates mild bullish momentum but limited follow-through so far.

   • The orange median line (15-period) acts as a dynamic support. A break below this line could trigger short-term selling.

Potential Scenarios

• Bullish Case

  • A sustained push above R2 (194.174) could drive the price toward R3 (194.321) and R4 (194.764). Positive sentiment or weaker JPY fundamentals might fuel the upward move.

• Bearish Case

  • Failure to hold current levels may send GBP/JPY toward S1 (193.722), with further downside targeting S2 (193.584) or S3 (193.437).

Conclusion

Traders should watch the price reaction near the R2 (194.174) and the orange Donchian median line for directional bias. A breakout will determine the trend, while a range-bound movement may dominate until a clearer catalyst emerges.

For short-term traders, the pivot points provide actionable areas for entry and exit, while long-term traders can monitor for trend confirmation above or below key support/resistance zones.

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