GBP/JPY flirting with session lows, below 144.00 mark ahead of UK macro data

GBP/JPY retreats from YTD tops amid reviving safe-haven demand for the JPY.
No-deal Brexit fears weighed on the GBP and prompted some long-unwinding.
Investors now look forward to the flash UK PMI prints for some trading impetus.

Haresh Menghani FXStreet

The GBP/JPY cross edged lower on Friday and dropped to fresh session lows, below the 144.00 mark, erasing the previous session's gains to YTD tops.

Having witnessed some heavy selling over the past two trading sessions, the Japanese yen (JPY) found some respite on the last trading day of the week amid the prevailing risk-off mood. The World Health Organization warned that a global outbreak of the deadly coronavirus could happen at any time.

GBP/JPY weighed down by a combination of factors

The latest warning by the
fueled pessimism about the global growth outlook. Adding to the market concerns was the rise in the number of newly infected cases outside mainland China – South Korea and Japan. This eventually weighed on investors' sentiment and benefitted the JPY's perceived safe-haven status.

Apart from the global flight to safety, persistent worries that Britain might crash out of the European Union at the end of the transition period continued undermining the British pound and further prompted some long-unwinding trade on the last day of the week.

Moving ahead, market participants now look forward to Friday's important UK macro data, the flash version of manufacturing and services PMI, which should play a key role in driving the sentiment surrounding the sterling and produce some meaningful intraday trading opportunities.

Technical levels to watch

GBP/JPY

Overview
Today last price	144.02
Today Daily Change	-0.36
Today Daily Change %	-0.25
Today daily open	144.38

Trends
Daily SMA20	142.6
Daily SMA50	142.92
Daily SMA100	141.3
Daily SMA200	137.63

Levels
Previous Daily High	144.61
Previous Daily Low	143.6
Previous Weekly High	143.48
Previous Weekly Low	141.24
Previous Monthly High	144.61
Previous Monthly Low	140.83
Daily Fibonacci 38.2%	144.22
Daily Fibonacci 61.8%	143.99
Daily Pivot Point S1	143.79
Daily Pivot Point S2	143.19
Daily Pivot Point S3	142.78
Daily Pivot Point R1	144.79
Daily Pivot Point R2	145.2
Daily Pivot Point R3	145.8

Author

Haresh Menghani

FXStreet

Haresh Menghani is a detail-oriented professional with 10+ years of extensive experience in analysing the global financial markets.

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