- GBP/JPY trades flat on Monday and stalls ahead of 140.00.
- The price has all met some resistance at the previous wave high.
GBP/JPY daily chart
GBP/JPY has been trending over the past five sessions but on Monday the price has met some resistance. JPY is traditionally a safe-haven currency and GBP moves have been dominated by the risk theme. This has led the pair to trade higher with the stock markets but the price has not continued with that theme today. Later in the week, there could be some volatility in the pair as the market gets the latest Bank of England rate decision and accompanying updates.
Looking at the chart, the price has also stalled at the 61.8% Fibonacci extension zone. The area is also very close to the previous wave high at 139.74. It seems that the bulls have not managed to conjure enough momentum to test 140.00 for now. This does not mean the rally is over it just means there could be a small pullback before the trend continues.
The indicators might also support the theory above. The Relative Strength Index is in the overbought area and this means the price could move lower in the near term. The MACD is looking positive as the histogram is in the green and the signal lines are above zero.
Overall in the medium term, the price is still in an uptrend but if the market manages to break 139.74 then the uptrend would be fully back on. On the downside, the next major support is at 136.00 and a break below there could take the price to the channel low.
|Today last price||138.57|
|Today Daily Change||0.03|
|Today Daily Change %||0.02|
|Today daily open||138.54|
|Previous Daily High||139.21|
|Previous Daily Low||136.79|
|Previous Weekly High||139.21|
|Previous Weekly Low||135.15|
|Previous Monthly High||139.21|
|Previous Monthly Low||132.95|
|Daily Fibonacci 38.2%||138.28|
|Daily Fibonacci 61.8%||137.71|
|Daily Pivot Point S1||137.15|
|Daily Pivot Point S2||135.77|
|Daily Pivot Point S3||134.74|
|Daily Pivot Point R1||139.56|
|Daily Pivot Point R2||140.59|
|Daily Pivot Point R3||141.98|
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.