GBP/JPY Price Analysis: Key SMA, immediate resistance line test bulls above 153.00
- GBP/JPY remains defensive below 100-SMA, 13-day-old resistance line.
- Upbeat Momentum line, sustained trading beyond short-term support keeps buyers hopeful.
GBP/JPY defends 153.00, around 153.20-25 by the press time, amid a subdued Asian session on Tuesday. In doing so, the cross-currency pair struggles to extend the last week’s recovery moves below 100-SMA and a downward sloping trend line from June 24.
However, a firmer Momentum line and the pair’s successful trading above an ascending support line from Thursday keep buyers hopeful.
Hence, GBP/JPY bulls await a clear upside break of immediate SMA hurdle, around 153.35, as well as the stated resistance line near 153.45, to tighten the grips and challenge monthly top surrounding 154.10.
Following that, the mid-May top close to 154.85 and the 155.00 threshold will be important to watch.
Alternatively, pullback moves will be less worrisome until staying beyond the immediate support line, around 152.70, a break of which should recall the 152.30 and the 151.00 support levels to the chart.
In a case where GBP/JPY sellers keep reins below 151.00, the monthly low near 150.65, followed by the 150.00 psychological magnet, will be crucial.
GBP/JPY four-hour chart
Trend: Further recovery expected
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.
