GBP/JPY Price Analysis: Bulls have an upper hand above 139.50
|- GBP/JPY keeps bounces off short-term horizontal support, 100-bar SMA.
- MACD flirts with bulls as the quote keeps Wednesday’s gains.
- A Three-week-old ascending trend line lures the bulls.
GBP/JPY prints mild gains above 140.00, currently around 140.25, during Thursday’s Asian session. In doing so, the pair retains the early week’s recovery moves from late-December lows and 100-bar SMA.
Considering the MACD signals also flirting with the bulls, coupled with the quote’s ability to stay beyond the key short-term support, GBP/JPY is likely to remain on the bull’s radar.
That said, the recent high around 140.55 and the 140.00 threshold seem to lure the short-term buyers ahead of Monday’s peak surrounding 141.30.
During the GBP/JPY run-up beyond 141.30, an ascending trend line from December 22, currently around 141.55, will be in the spotlight.
Meanwhile, 100-bar SMA and stated horizontal area from December 28, respectively near 139.70 and 139.50, can limit pullback moves of GBP/JPY.
Though, any clear downside below 139.50 can make the pair vulnerable enough to revisit the December 22 low of 138.00 before eyeing the previous month’s bottom close to 136.80.
GBP/JPY four-hour chart
Trend: Bullish
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.