GBP/JPY Price Analysis: Bears challenge over one-week-old ascending channel support


  • GBP/JPY extended the previous day’s retracement slide from six-month tops.
  • The technical set-up supports prospects for the emergence of some dip-buying.
  • Bulls might now wait for a sustained move back above the 142.00 round-figure.

The GBP/JPY cross lacked any firm directional bias and seesawed between tepid gains/minor losses, just above mid-141.00s through the early North American session.

The lower end of the daily trading range coincides with over one-week-old ascending trend-channel and is closely followed by 100-hour SMA, around the 141.25 region. A convincing breakthrough the mentioned support levels will be seen as a fresh trigger for bearish traders and set the stage for an extension of the retracement slide from Tuesday's six-month tops.

Meanwhile, technical indicators on the daily charts have already eased from the overbought territory and maintained their bullish bias on the 4-hourly chart. The set-up supports prospects for the emergence of some dip-buying at lower levels and warrants some caution before placing aggressive bearish bets or positioning for any meaningful decline.

On the flip side, the 142.00 round-figure mark now becomes immediate strong resistance. A sustained strength beyond has the potential to lift the cross back towards the overnight swing high, around the 142.00 round-figure mark. Bulls might then aim for a move beyond the 143.00 level, possibly towards reclaiming the 144.00 mark for the first time since February.

GBP/JPY 4-hourly chart

fxsoriginal

Technical levels to wtach

GBP/JPY

Overview
Today last price 141.53
Today Daily Change -0.29
Today Daily Change % -0.20
Today daily open 141.82
 
Trends
Daily SMA20 139.52
Daily SMA50 136.9
Daily SMA100 135.17
Daily SMA200 137.47
 
Levels
Previous Daily High 142.72
Previous Daily Low 141.34
Previous Weekly High 141.62
Previous Weekly Low 138.29
Previous Monthly High 142.04
Previous Monthly Low 137.75
Daily Fibonacci 38.2% 142.19
Daily Fibonacci 61.8% 141.86
Daily Pivot Point S1 141.19
Daily Pivot Point S2 140.57
Daily Pivot Point S3 139.81
Daily Pivot Point R1 142.58
Daily Pivot Point R2 143.34
Daily Pivot Point R3 143.96

 

 

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