GBP/JPY Price Analysis: Bulls seeking a resistance structure target-zone, 138.70/139.70
- GBP/JPY bulls taking on the next leg of the quest for the weekly structure to the upside.
- A weaker dollar has helped the pound to find its feet despite a longer-term bearish outlook.
Despite Brexit concerns, the pound has enjoyed a dose of dollar bearishness and UK investment in some 60 million vaccine doses headlines which have supported sentiment for sterling markets of late.
`Nevertheless, the technicals are stacking up for a bullish scenario on the below charts for which will be revealed in a top-down analysis in the cross as follows:
The price has been rejected numerous times on the monthly structure and the monthly wick is a bullish scenario on lower time frames.
The weekly chart below shows that the price is travelling to a double top target area along a bullish trend line of supporting higher lows.
The bulls rallied through a resistance structure and now target break higher following a re-test of old resistance turns supporting structure.
The below chart how's that price was rejected at exactly a 61.8% Fib and the upside target is clearly defined by prior resistance looking left.
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