GBP/JPY Price Analysis: Break of 5-DMA directs sellers to monthly support

GBP/JPY extends the previous day’s losses from 12-day top.
Downside break of short-term moving average (MA) joins receding RSI.
Monthly peak adds to the upside barrier beyond the weekly top.

Anil Panchal FXStreet

GBP/JPY bears attack 139.00, currently down 0.20% on a day near 138.95, during the pre-UK open trading on Friday. The pair surged to the highest since November 11, before declining from 139.85, the previous day.

The declines recently broke 5-day SMA (DMA) support, amid a downward sloping RSI line, which in turn suggests the quote’s further weakness towards an ascending trend line from October 30, at 138.35 now.

If at all the bears dominate past-138.35, the 138.00 round-figure and November 19 low near 137.20 will become their favorites.

Meanwhile, an upside clearance of a 5-day SMA level near 139.40 will not only need to cross the weekly top surrounding 139.85 but also the 140.00 threshold to aim for the monthly top near 140.35.

It should be noted that the pair’s sustained run-up beyond will not hesitate to challenge 141.00 whereas any further rise may look towards the yearly top near 142.70.

GBP/JPY daily chart

Trend: Further weakness expected

Additional important levels

Overview
Today last price	138.96
Today Daily Change	-0.28
Today Daily Change %	-0.20%
Today daily open	139.24

Trends
Daily SMA20	137.79
Daily SMA50	136.76
Daily SMA100	137.32
Daily SMA200	135.66

Levels
Previous Daily High	139.86
Previous Daily Low	138.93
Previous Weekly High	138.87
Previous Weekly Low	137.2
Previous Monthly High	137.86
Previous Monthly Low	134.41
Daily Fibonacci 38.2%	139.29
Daily Fibonacci 61.8%	139.5
Daily Pivot Point S1	138.83
Daily Pivot Point S2	138.42
Daily Pivot Point S3	137.9
Daily Pivot Point R1	139.75
Daily Pivot Point R2	140.27
Daily Pivot Point R3	140.68

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.

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