GBP/JPY Price Analysis: Bulls eye another battle with 167.30 hurdle

GBP/JPY picks up bids to reverse the previous day’s pullback from one-week high.
Bullish MACD signals, sustained bounce off 21-SMA favor buyers.
200-SMA, five-week-old descending trend line challenge upside moves.

Anil Panchal FXStreet

GBP/JPY picks up bids to print mild gains around 166.65 heading into Wednesday’s London open. In doing so, the cross-currency pair bounces off the 21-SMA to reverse the previous day’s losses from the one-week high.

The recovery moves also take clues from the bullish MACD signals to keep the GBP/JPY buyers hopeful.

However, a convergence of the 200-SMA and downward-sloping resistance line from the October-end, near 167.30, appears a tough nut to crack for the pair buyers.

In a case where the GBP/JPY crosses the 167.30 hurdle, a run-up towards the late November swing high near 169.00 and then to the 170.00 psychological magnet appears imminent.

It’s worth noting that the previous monthly peak surrounding 171.00 and October’s high around 172.15 could please the GBP/JPY buyers past 170.00.

Alternatively, pullback moves remain elusive beyond the 21-SMA support of 166.00.

Following that, an ascending trend line from November 11, close to 164.25 by the press time, could act as the last defense of the GBP/JPY buyers.

Should the cross-currency pair remains bearish past 164.25, and also break the 164.00 threshold, the odds of witnessing a slump toward October’s low near 159.70 can’t be ruled out.

GBP/JPY: Four-hour chart

Trend: Limited upside expected

Additional important levels

Overview
Today last price	166.62
Today Daily Change	0.36
Today Daily Change %	0.22%
Today daily open	166.26

Trends
Daily SMA20	166.33
Daily SMA50	166.15
Daily SMA100	164.37
Daily SMA200	163.01

Levels
Previous Daily High	167.5
Previous Daily Low	166.15
Previous Weekly High	168.29
Previous Weekly Low	164.05
Previous Monthly High	170.95
Previous Monthly Low	163.06
Daily Fibonacci 38.2%	166.66
Daily Fibonacci 61.8%	166.98
Daily Pivot Point S1	165.77
Daily Pivot Point S2	165.28
Daily Pivot Point S3	164.42
Daily Pivot Point R1	167.12
Daily Pivot Point R2	167.98
Daily Pivot Point R3	168.47

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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