Gbpjpy: long heads move up and retreat in case of resistance

Fundamental analysis:

The pound fluctuated around 162.463 against the yen. The inflation expectation of the Bank of England has been several times its target, but the benchmark interest rate of the Bank of England has not even reached the neutral level. This will lead to a longer cycle of interest rate hikes. Even when people are worried about slowing growth, there will be more large-scale interest rate hikes at the end of this cycle. The market currently believes that the Bank of England is 90% likely to raise interest rates by 50 basis points.

Gbpjpy - 4-hour K-line chart shows:

Technical analysis:

According to the 4-hour chart, the low-level Bull Power showed a V-shaped reversal and upward movement trend, the short-term high was blocked, and the consolidation was slowly downward. The market as a whole began to have signs of short power waiting for the opportunity to enter, the MACD index was in the short area, and the consolidation was maintained and slowly moved upward, and the RSI index was in the 50 equilibrium online side;

Turning point of long and short: 162.644

Pressing position: 163.204, 163.726

Support position: 161.926, 161.366

Trading strategy: bearish below 162.644, target 161.926, 161.366

Alternative strategy: bullish above 162.644, targets 163.204, 163.726