GBP/JPY Price Analysis: Upside momentum eye 142.00 ahead of BOJ

GBP/JPY eases from intraday top while keeping positive sentiment on the table.
Successful rise past-21-day SMA, 12-day-old support line favor the bulls.
10-week-long resistance line, September 2019 peak gain the buyers’ attention.

Anil Panchal FXStreet

GBP/JPY trims early Asian gains while stepping back from the intraday high of 141.65 to 141.58, up 0.14% on a day, during early Thursday. The quote refreshed a four-month high the previous day before easing from 142.34. However, the pullback moves couldn’t last longer and bounced off 141.08.

Sustained trading above 21-day SMA and a short-term support line, amid an absence of overbought RSI, favor GBP/JPY bulls. Though, cautious sentiment ahead of the Bank of Japan’s (BOJ) monetary policy meeting and the coronavirus (COVID-19) worries in the UK seems to weigh the quote.

Read: When is the BOJ rate decision and how could it affect USD/JPY?

Hence, the latest pullback is less likely to spoil the mood unless staying past-21-day SMA and an ascending trend line from January 05, respectively around 140.85 and 140.60.

Also likely to challenge the GBP/JPY bears is the 140.00 psychological magnet, a break of which will direct the sellers toward the monthly low around 139.50.

On the contrary, the 142.00 threshold and the latest top near 142.35 can please the GBP/JPY buyers during the further upside.

Should the quote remains positive beyond 142.35, an upward sloping trend line from November 11, around 142.52 and September 2020 peak surrounding 142.70-75 will be in the spotlight.

GBP/JPY daily chart

Trend: Bullish

Additional important levels

Overview
Today last price	141.6
Today Daily Change	0.21
Today Daily Change %	0.15%
Today daily open	141.39

Trends
Daily SMA20	140.82
Daily SMA50	139.71
Daily SMA100	138.13
Daily SMA200	136.69

Levels
Previous Daily High	142.34
Previous Daily Low	141.08
Previous Weekly High	142.26
Previous Weekly Low	140.34
Previous Monthly High	141.23
Previous Monthly Low	136.79
Daily Fibonacci 38.2%	141.56
Daily Fibonacci 61.8%	141.86
Daily Pivot Point S1	140.87
Daily Pivot Point S2	140.34
Daily Pivot Point S3	139.61
Daily Pivot Point R1	142.13
Daily Pivot Point R2	142.87
Daily Pivot Point R3	143.39

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.

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