GBP/JPY faces double whammy, gives up 127 handle
|The cross in the GBP/JPY remains relentlessly offered in the European session, as investors move away from risk currencies and prefer safety bets amid risk-off environment.
GBP/JPY hit by risk-aversion
Currently, GBP/JPY drops -0.42% to fresh session lows of 126.84, moving further away from 127 handle. The GBP/JPY cross faces double whammy as the safe-haven yen is on the rise amid diminishing risk appetite, in wake of shaky European equities and subdued oil prices. While unfavorable sentiment towards risk currencies such as the GBP, also weighs down on the cross.
Moreover, impending Brexit-process concerns and BOJ Kuroda’s latest comments continue influence the cross. Moreover, downbeat UK public sector net borrowing data also added to the downside in the prices.
GBP/JPY Levels to consider
The pair has an immediate resistance at 127.14 (5-DMA), above which 127.79 (daily R1) could be tested. On the flip side, support is seen at 126.40 (Oct 18 low) that at 126 (round figure).
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.