- GBP/JPY prolonged its recent bullish trend and jumped to the highest level since late February.
- The momentum marks a bullish breakthrough a two-month-old upward sloping trend channel.
- Slightly overbought RSI on hourly/daily charts warrants caution before placing fresh bullish bets.
The GBP/JPY cross surged past the key 140.00 psychological mark and shot to the highest level since late February during the mid-European session on Thursday.
The mentioned level represented the top boundary of an ascending trend-channel extending from late June. A move beyond marks a fresh breakout and might have already set the stage for an extension of the near-term bullish trend.
Meanwhile, RSI (14) on hourly/daily charts is pointing to slightly overbought conditions and warrant some caution for bullish traders. That said, the cross now seems poised to aim towards reclaiming the 141.00 round-figure mark.
On the flip side, any meaningful pullback might now be seen as a buying opportunity. This, in turn, should help limit the downside near the previous strong horizontal resistance breakpoint, now turned support near the 139.20-15 area.
Failure to defend the mentioned resistance-turned-support might prompt some technical selling and drag the cross back towards sub-138.00 levels, important horizontal support near the 137.80 region.
GBP/JPY 4-hourly chart
Technical levels to watch
|Today last price||140.12|
|Today Daily Change||0.77|
|Today Daily Change %||0.55|
|Today daily open||139.35|
|Previous Daily High||139.62|
|Previous Daily Low||138.88|
|Previous Weekly High||139.24|
|Previous Weekly Low||137.75|
|Previous Monthly High||139.21|
|Previous Monthly Low||132.95|
|Daily Fibonacci 38.2%||139.34|
|Daily Fibonacci 61.8%||139.16|
|Daily Pivot Point S1||138.95|
|Daily Pivot Point S2||138.54|
|Daily Pivot Point S3||138.2|
|Daily Pivot Point R1||139.69|
|Daily Pivot Point R2||140.03|
|Daily Pivot Point R3||140.43|
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