GBP/JPY dives below 150.00, lowest since Aug 2013

Dhwani Mehta FXStreet

The bears tighten grip in the early European trades, drowning GBP/JPY deeper in the red below 150 handle – key psychological support, as Brexit jitters intensified.

GBP/JPY erodes nearly 150-pips

Currently, GBP/JPY sinks -1.08% to 149.77, flirting with session lows struck at 149.69. A fresh selling-wave gripped the GBP/JPY cross as Europe gets underway, with the European traders reacting to the latest Brexit polls that rereleased continued to support for the Leave campaign.

Further, the renewed Brexit concerns-triggered risk-off market profile boosts the demand for safe-havens such as the yen, and therefore, drags the cross to the lowest levels in more than three years.

The immediate focus now remains on the UK CPI report due later this session, while the US retail sales data will be also closely eyed ahead of the Fed decision due tomorrow.

GBP/JPY Levels to consider

The pair has an immediate resistance at 151 (round number), above which 151.84 (5-DMA) would be tested. On the flip side, support is seen at 149.50/48 (round number/ Monday’s low) below that at 148.01 (daily S2).

Author

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

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