GBP/JPY Price Analysis: 200-DMA challenges rebound from 10-week low
- GBP/JPY takes the bids to refresh intraday high, snaps two-day losing streak.
- Oversold RSI triggered the pair’s bounce off the lowest levels since late December.
- Bearish MACD keeps sellers hopeful, 50% Fibonacci retracement level adds to the upside filters.
GBP/JPY consolidates the weekly losses around multi-day low, up 0.30% near 153.30 during Wednesday’s Asian session.
The cross-currency pair dropped to the lowest levels since December 23, 2021, the previous day before taking a U-turn from 152.66.
The recovery movers, however, struggles to overcome the 200-DMA level near 153.30. Also challenging the GBP/JPY buyers is the 50% Fibonacci retracement of December 2021 to February 2022 upside, near 153.35, as well as bearish MACD signals.
It should be noted, however, that the pair buyers remain cautious until witnessing a daily closing beyond a three-week-long resistance line, around 156.10 by the press time.
On the flip side, a convergence of the 61.8% Fibonacci retracement and an upward sloping trend line from December 03, 2021, around 152.45, will be a tough nut to crack for GBP/JPY bears.
Following that, the downward trajectory towards the 150.00 psychological magnet can’t be ruled out. Meanwhile, multiple levels around 151.00 and 150.70 may test the pair bears during the south-run.
GBP/JPY: Daily chart
Trend: Pullback expected
Author
Anil Panchal
FXStreet
Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.
