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GBP/JPY Price Analysis: Struggles to find acceptance above 136.00 mark, turns flat

  • GBP/JPY stages a goodish intraday bounce from the vicinity of 200-hour SMA.
  • Mixed technical indicators on hourly/daily charts warrant some caution for bulls.

The GBP/JPY cross managed to find decent support near the key 135.00 psychological mark and rallied over 120 pips from four-day lows set earlier this Friday. The mentioned level represents 200-hour SMA and should now act as a key pivotal point for short-term traders.

Meanwhile, technical indicators on hourly charts have again started gaining positive traction and support prospects for additional intraday gains. However, oscillators on the daily chart – through have been recovering from the negative territory – are yet to confirm the bullish bias and warrant some caution.

Hence, any subsequent positive move is more likely to confront stiff resistance near the very important 200-day SMA, around the 136.70-80 region. The said hurdle coincides with the 38.2% Fibonacci level of the 142.72-133.05 recent pullback, which if cleared will be seen as a fresh trigger for bullish traders.

The GBP/JPY cross might then aim to test the 137.55-60 intermediate resistance before eventually climbing further towards the 50% Fibo. level, around the 138.00 round-figure mark.

On the flip side, the 23.6% Fibo. level, around the 135.35 region, now seems to protect the immediate downside. Some follow-through selling might accelerate the slide back towards the 135.00 mark (200-hour SMA), below which the GBP/JPY cross seems all set to resume its recent bearish trajectory.

GBP/JPY 1-hourly chart

fxsoriginal

Technical levels to watch

GBP/JPY

Overview
Today last price136.02
Today Daily Change-0.04
Today Daily Change %-0.03
Today daily open136.06
 
Trends
Daily SMA20136.09
Daily SMA50137.82
Daily SMA100135.99
Daily SMA200136.79
 
Levels
Previous Daily High137.01
Previous Daily Low135.36
Previous Weekly High135.34
Previous Weekly Low133.05
Previous Monthly High142.72
Previous Monthly Low133.05
Daily Fibonacci 38.2%135.99
Daily Fibonacci 61.8%136.38
Daily Pivot Point S1135.28
Daily Pivot Point S2134.49
Daily Pivot Point S3133.62
Daily Pivot Point R1136.93
Daily Pivot Point R2137.8
Daily Pivot Point R3138.58

Author

Haresh Menghani

Haresh Menghani is a detail-oriented professional with 10+ years of extensive experience in analysing the global financial markets.

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