• GBP/JPY consolidates the biggest intraday losses in a week following the recent bounce.
  • Weekly support-turned-resistance, short-term horizontal hurdle test recovery moves.
  • Bearish MACD signals, downbeat RSI (14) hints keep sellers hopeful.
  • Three-day-old resistance line adds to the upside filters, 100-SMA lures bears.

GBP/JPY picks up bids to pare intraday losses around 166.15-20 during Thursday morning in Europe. In doing so, the cross-currency pair jostles with the previous support line stretched from Tuesday.

Multiple supports surrounding 165.70-60 seem to have underpinned the quote’s latest rebound. However, a horizontal area including levels since June 13 and the support-turned-resistance line from Monday challenges the buyers around 166.20-30.

Also challenging the GBP/JPY buyers is the bearish MACD signals and the steady RSI.

It’s worth noting that even if the pair manages to cross the 166.30 hurdle, a downward sloping resistance line from Tuesday will challenge the upside momentum around 167.25.

Meanwhile, a clear downside break of the 165.60 could trigger a fresh fall targeting the 100-SMA level near 165.00.

Following that, the 50% Fibonacci retracement of June 09-16, near 164.40, will be important to watch as a break of which could direct GBP/JPY sellers towards the 200-SMA level of 162.35.

Overall, GBP/JPY is likely to consolidate the weekly gains despite the recent rebound.

GBP/JPY: Four-hour chart

Trend: Further weakness expected

Additional important levels

Overview
Today last price 166.26
Today Daily Change -0.92
Today Daily Change % -0.55%
Today daily open 167.18
 
Trends
Daily SMA20 164.24
Daily SMA50 162.82
Daily SMA100 160.04
Daily SMA200 156.8
 
Levels
Previous Daily High 167.86
Previous Daily Low 165.77
Previous Weekly High 166.22
Previous Weekly Low 160
Previous Monthly High 163.91
Previous Monthly Low 155.6
Daily Fibonacci 38.2% 166.57
Daily Fibonacci 61.8% 167.06
Daily Pivot Point S1 166.02
Daily Pivot Point S2 164.85
Daily Pivot Point S3 163.93
Daily Pivot Point R1 168.11
Daily Pivot Point R2 169.03
Daily Pivot Point R3 170.2

 

 

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