GBP/JPY Price Analysis: Bears strike 153.00 mark, more downside on the cards
- GBP/JPY remains muted following the previous session weakness on Wednesday.
- Bears remain hopeful below the 153.00 mark.
- Momentum oscillator moves in favor of downside momentum.
GBP/JPY price edges lower in the European trading session. The currency pair remained pressurized after testing the 155.14 level on June 24.
At the time of writing, GBP/JPY is trading at 152.83, down 0.07% for the day.
GBP/JPY daily chart
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On the daily chart, the GBP/JPY cross has been in the continuous downside momentum since the beginning of the month. The pair made a recovery from the low of 151.32 on June 21 but lacks the strength to hold onto the gains.
A sustained break below 153.00 could intensify the selling pressure toward the monthly lows.
In doing so, GBP/JPY would test the first support at the 152.30 horizontal support level.
The Moving Average Convergence Divergence (MACD) indicator trades at the midline with a negative bias, which signifies the impending lower price movement. Any downtick in the MACD would ignite a fresh round of selling opportunities.
Market participants would then look out for June 18 low at 151.99 followed by the 151.40 horizontal support level.
Alternatively, if price makes a sustained move above the intraday high of 153.21, it could inch toward the 50-day Simple Moving Average (SMA) at 153.62. A daily close above the 50-day SMA encouraged GBP/JPY bulls to retest 154.00, the key psychological mark.
Next, GBP/JPY bulls attempt to capture June 25 high at 154.50.
GBP/JPY additional levels
Author
Rekha Chauhan
Independent Analyst
Rekha Chauhan has been working as a content writer and research analyst in the forex and equity market domain for over two years.
