GBP/JPY Price Analysis: Breaches Tenkan-Sen and plummets below 187.00

GBP/JPY falls over 0.60%, impacted by cautious sentiment before Fed policy decision.
Drop below Tenkan-Sen (187.45) suggests more decline; watch supports at 186.00, 185.64.
Recovery hinges on surpassing 187.00; resistance at 187.45, 188.00, and January 23 high of 188.91.

Christian Borjon Valencia FXStreet

The GBP/JPY plunged sharply during the North American session, down by more than 0.60% as market participants shifted risk-averse ahead of the US Federal Reserve’s (Fed) monetary policy decision. That, alongside the Bank of England (BoE) meeting on Thursday, keeps the Pound Sterling (GBP) downward pressured while the Japanese Yen (JPY) advances. At the time of writing, the cross exchanges hands at 186.15 after hitting a high of 187.59.

The pair is neutral biased but tilted to the downside after diving below the Tenkan-Sen at 187.45, That exacerbated the GBP/JPY fall below 187.00, which opened the door for further downside. The next support surfaces at 186.00, followed by the Senkou Span A at 185.64. Further downside is seen at 185.00.

On the other hand, if buyers step in, they must reclaim 187.00. Once that level is cleared, up next would be the Tenkan-Sen at 187.45, ahead of challenging 188.00, before testing fresh highs at 188.91, the January 23 high.

GBP/JPY Price Action – Daily Chart

GBP/JPY Technical Levels

GBP/JPY

Overview
Today last price	186.18
Today Daily Change	-1.23
Today Daily Change %	-0.66
Today daily open	187.41

Trends
Daily SMA20	186.14
Daily SMA50	184.36
Daily SMA100	183.81
Daily SMA200	181.4

Levels
Previous Daily High	187.52
Previous Daily Low	186.52
Previous Weekly High	188.92
Previous Weekly Low	187.12
Previous Monthly High	187.52
Previous Monthly Low	178.35
Daily Fibonacci 38.2%	186.9
Daily Fibonacci 61.8%	187.13
Daily Pivot Point S1	186.78
Daily Pivot Point S2	186.15
Daily Pivot Point S3	185.79
Daily Pivot Point R1	187.78
Daily Pivot Point R2	188.14
Daily Pivot Point R3	188.77

Author

Christian Borjon Valencia

FXStreet

Markets analyst, news editor, and trading instructor with over 14 years of experience across FX, commodities, US equity indices, and global macro markets.

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