GBP/JPY Price Analysis: 13-day-old support line in focus


  • GBP/JPY eases from 5.5-month high, takes a U-turn from ascending trend line established since March 02.
  • Overbought RSI conditions suggest pullback, 61.8% Fibonacci retracement adds to the support.
  • Bulls can aim for the early-February low beyond a sustained rise past-140.00.

GBP/JPY drops to 139.56, down 0.10% on a day, ahead of Friday’s UK market open. The pair surged to the highest since February 25 the previous day but couldn’t close a downward sloping trend line from early March. This pullback gains strength by overbought RSI conditions to attack an upward sloping support line from July 28.

While sellers are likely to take entries below the aforementioned trend line support, at 139.20 now, 61.8% Fibonacci retracement of December 2019 to March 2020 downside, near 138.80, could challenge the short-term downside.

Though the pair’s sustained declines past-138.80 will make it vulnerable to refresh the monthly low of 137.75 and targeting July 23 high around 136.60 and 50% Fibonacci retracement level of 136.00 during the additional south-run.

Meanwhile, the pair’s ability to cross the multi-week-old resistance line, currently around 140.20, will propel the upside moves toward February 04 low near 140.90.

GBP/JPY daily chart

Trend: Pullback expected

Additional important levels 

Overview
Today last price 139.58
Today Daily Change -0.14
Today Daily Change % -0.10%
Today daily open 139.72
 
Trends
Daily SMA20 137.36
Daily SMA50 135.66
Daily SMA100 134.43
Daily SMA200 137.49
 
Levels
Previous Daily High 140.21
Previous Daily Low 139.24
Previous Weekly High 139.24
Previous Weekly Low 137.75
Previous Monthly High 139.21
Previous Monthly Low 132.95
Daily Fibonacci 38.2% 139.84
Daily Fibonacci 61.8% 139.61
Daily Pivot Point S1 139.24
Daily Pivot Point S2 138.75
Daily Pivot Point S3 138.27
Daily Pivot Point R1 140.21
Daily Pivot Point R2 140.7
Daily Pivot Point R3 141.18

 

 

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