GBP/JPY Price Analysis: Breaks 162.50 support confluence to renew 13-day low

GBP/JPY stays offered at two-week low, extends the previous day’s losses.
Clear break of 100-DMA, ascending trend line from May joins downbeat oscillators to favor sellers.
Bulls need a successful run-up beyond 166.35 to retake control.

Anil Panchal FXStreet

GBP/JPY stands on slippery grounds as bears smash the 162.50 support confluence heading into Friday’s European session. With this, the cross-currency pair also renews the two-week low while extending the previous day’s losses.

In addition to the break of the 100-DMA and an 11-week-old ascending trend line, the bearish MACD signals and downbeat RSI (14) also keep GBP/JPY sellers hopeful.

That said, an upward sloping trend line from early March, near 161.20 lures the bears before the 50% Fibonacci retracement of March-June upside, near 159.85.

However, the 200-DMA level of 158.34 could challenge the GBP/JPY sellers afterward.

Alternatively, recovery remains elusive below 162.50, a clear upside break of which could direct the GBP/JPY bulls towards the weekly resistance area near 166.30-35.

It should be noted that the highs marked in June, around 167.85 at the latest, could act as a buffer during the pair’s run-up towards the yearly peak of 168.73.

Overall, GBP/JPY flashed signals of further downside but there prevails a little room to the south.

GBP/JPY: Daily chart

Trend: Further weakness expected

Additional important levels

Overview
Today last price	162.57
Today Daily Change	-0.93
Today Daily Change %	-0.57%
Today daily open	163.5

Trends
Daily SMA20	164.02
Daily SMA50	163.98
Daily SMA100	162.49
Daily SMA200	158.31

Levels
Previous Daily High	166.11
Previous Daily Low	162.86
Previous Weekly High	166.25
Previous Weekly Low	163.01
Previous Monthly High	168.74
Previous Monthly Low	160
Daily Fibonacci 38.2%	164.1
Daily Fibonacci 61.8%	164.87
Daily Pivot Point S1	162.21
Daily Pivot Point S2	160.91
Daily Pivot Point S3	158.96
Daily Pivot Point R1	165.45
Daily Pivot Point R2	167.4
Daily Pivot Point R3	168.69

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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