GBP/JPY plummets below 145.00 mark after Cox comments on Brexit deal

• GBP plunges after UK Attorney General gives trashes May's last-minute deal with the EU.
• Cox says that the UK will have no lawful means of leaving the Irish Backstop arrangement.

The GBP/JPY cross plunged back below the key 145.00 psychological mark in the last hour, albeit quickly recovered few pips thereafter.

The cross extended its sharp intraday retracement slide from over one-week lows and tumbled further after the UK Attorney General Geoffrey Cox gave a thumbs down to the UK PM Theresa May's amended last-minute deal with the EU.

According to Cox, the interpretive document offered by the EU would grant no legally guaranteed right to exit the Irish Backstop in the event of a deal deadlock and triggered some aggressive selling pressure around the British Pound.

The cross crashed around 320-pips, eroding a major part of the previous session's goodish up-move and was further pressurized by a modest pull-back in equity markets, which provided a minor lift to the Japanese Yen's safe-haven status.

The bearish pressure now seems to have abated, at least for the time being, with the cross recovering around 60-pips as market participants now look forward to a meaningful vote in the UK Parliament on the PM May's amended Brexit deal.

Technical levels to watch

GBP/JPY

Overview:
    Today Last Price: 145.19
    Today Daily change %: -0.71%
    Today Daily Open: 146.23
Trends:
    Daily SMA20: 145.19
    Daily SMA50: 142.71
    Daily SMA100: 143.44
    Daily SMA200: 144.66
Levels:
    Previous Daily High: 146.5
    Previous Daily Low: 143.72
    Previous Weekly High: 148.47
    Previous Weekly Low: 144.31
    Previous Monthly High: 148.28
    Previous Monthly Low: 141.01
    Daily Fibonacci 38.2%: 145.44
    Daily Fibonacci 61.8%: 144.78
    Daily Pivot Point S1: 144.47
    Daily Pivot Point S2: 142.7
    Daily Pivot Point S3: 141.68
    Daily Pivot Point R1: 147.25
    Daily Pivot Point R2: 148.27
    Daily Pivot Point R3: 150.03

Share: Feed news

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. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.