GBP/JPY slides below 136.00 mark, fresh session low

  • A combination of factors prompted some selling around GBP/JPY on Thursday.
  • The lack of progress in the post-Brexit talks took its toll on the British pound.
  • US-China tensions benefitted the safe-haven JPY and added to the selling bias.

The GBP/JPY cross refreshed daily lows in the last hour, with bears now looking to extend the slide further below the 136.00 round-figure mark.

The cross failed to capitalize on the previous day's goodish intraday positive move to fresh six-week tops and witnessed a modest pullback on Thursday, from the 136.60-65 supply zone. The GBP/JPY cross, for now, seems to have snapped three consecutive days of the winning streak and the downtick was sponsored by the emergence of some fresh selling around the British pound.

Market worries about a no-deal Brexit resurfaced after the latest negotiations in London ended this Thursday, wherein the UK and EU have said that they were still some way off reaching a post-Brexit trade agreement. Britain's chief Brexit negotiator David Frost said that Thursday's that they will not achieve the goal of striking a preliminary agreement by July end.

Given that the UK has ruled out the possibility of extending the December deadline to reach a deal, the lack of progress on the UK's exit from the EU took its toll on the sterling. This comes amid concerns over worsening US-China relations, which benefitted the Japanese yen's perceived safe-haven status and further contributed to offered tone surrounding the GBP/JPY cross.

Diplomatic tensions between the world's two largest economies escalated further after the US ordered China to close its consulate in Houston by Friday amid accusations of spying. China's foreign ministry condemned the move as “political provocation” and was reportedly closing the US consulate in Wuhan in retaliation.

It will now be interesting to see if the cross is able to attract any dip-buying at lower levels or the latest leg down marks the end of over four-week-old positive trend.

Technical levels to watch


Today last price 136.04
Today Daily Change -0.42
Today Daily Change % -0.31
Today daily open 136.46
Daily SMA20 134.47
Daily SMA50 134.06
Daily SMA100 133.49
Daily SMA200 137.67
Previous Daily High 136.63
Previous Daily Low 135.29
Previous Weekly High 135.49
Previous Weekly Low 133.99
Previous Monthly High 139.74
Previous Monthly Low 131.77
Daily Fibonacci 38.2% 136.11
Daily Fibonacci 61.8% 135.8
Daily Pivot Point S1 135.62
Daily Pivot Point S2 134.78
Daily Pivot Point S3 134.28
Daily Pivot Point R1 136.96
Daily Pivot Point R2 137.46
Daily Pivot Point R3 138.3



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.

Feed news

Latest Forex News

Latest Forex News

Editors’ Picks

LIVE: 2020 US Elections - Eighty Percent of success is showing up

The attractions of tonight’s first presidential debate are those of the spectacle and high-stakes sports event rather than a policy deliberation between learned contestants.


EUR/USD holds gains near 1.1750 as US election debate kicks-off

EUR/USD holds the recent gains near 1.1750, as the US Presidential election debate kicks-off on a fiery note. The US dollar wallows in multi-day lows amid cautious market mood. The spot printed its biggest single-day gain in over a month on Tuesday. 


AUD/USD eases-off 0.7150 on China PMIs, US election debate underway

AUD/USD is off the five-day high but remains well bid above 0.7100, up for the third day in a row. Markets paid little attention to upbeat Chinese official Manufacturing PMI data, as all eyes remain on the first US Presidential election debate.  


Gold buyers attack $1,900 as the key event begins

Gold seesaws near one week high after closely missing the $1,900 mark the previous day. Broad US dollar weakness helps the bullion to cheer the market’s cautious sentiment. with the US election debate underway. Brexit and virus woes weigh on market sentiment.

Gold News

WTI drops to fresh lows near $39.70 ahead of API

Prices of the American benchmark for the sweet light crude oil broke below the $40.00 mark per barrel and slipped back to the $39.70 region on Tuesday.

Oil News