GBP/JPY Price Analysis: Bounces off 200-SMA to stay beyond 150.00
- GBP/JPY holds onto corrective pullback from weekly low.
- Weaker Momentum questions recovery moves below three-month-old horizontal resistance.
- 100-DMA, descending resistance line from July add to the upside filters.
- Multiple supports marked during the last 10 weeks lure bears below 200-SMA.
GBP/JPY keeps the U-turn from 200-DMA around 150.40 during Thursday’s Asian session. In doing so, the cross-currency pair bounces off a one-week low, flashed the previous day.
However, the downbeat Momentum line doesn’t favor the rebound while multiple levels marked since early July also challenges the pair buyers around 151.20.
If the GBP/JPY prices manage to cross the 151.20 hurdle, the quote may revisit the early September levels surrounding 152.30 but a descending trend line from July 06 and 100-DMA, respectively near 152.50 and 152.65, will question the bulls afterward.
Alternatively, the 200-DMA level near 150.10 and the 150.00 threshold limit the pair’s short-term downside ahead of the multiple support-area between 149.30 and 149.20, established since July 19.
In a case where GBP/JPY bears remain dominant below 149.20, July’s low surrounding 148.50 will be on their radars.
GBP/JPY: Daily chart
Trend: Bearish
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.
