GBP/JPY Technical Analysis: Bulls trying to defend descending channel support ahead of BoE
• Over the past two weeks or so, the cross has been correcting from near two-month tops along a descending trend-channel formation on short-term charts.
• Oscillators on hourly charts maintained their bearish bias and have just started gaining negative momentum on the daily chart, suggesting additional weakness.
• Meanwhile, the fact that the cross remains well below important intraday moving averages - 50, 100 & 200-hour SMA, further reinforce the near-term bearish outlook.
• However, given the recent upsurge, the channel might constitute toward the formation of a bullish continuation – flag chart pattern and thus, warrant some caution.
• Hence, it would be prudent to wait for a convincing breakthrough the channel support, which will confirm a bearish breakdown and open room for further downside.
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GBP/JPY
Overview:
Today Last Price: 141.69
Today Daily change %: -0.38%
Today Daily Open: 142.23
Trends:
Daily SMA20: 141.93
Daily SMA50: 141.56
Daily SMA100: 144.17
Daily SMA200: 144.97
Levels:
Previous Daily High: 142.53
Previous Daily Low: 141.75
Previous Weekly High: 144.73
Previous Weekly Low: 142.08
Previous Monthly High: 144.85
Previous Monthly Low: 131.79
Daily Fibonacci 38.2%: 142.05
Daily Fibonacci 61.8%: 142.23
Daily Pivot Point S1: 141.81
Daily Pivot Point S2: 141.39
Daily Pivot Point S3: 141.03
Daily Pivot Point R1: 142.59
Daily Pivot Point R2: 142.95
Daily Pivot Point R3: 143.37
Author
Haresh Menghani
FXStreet
Haresh Menghani is a detail-oriented professional with 10+ years of extensive experience in analysing the global financial markets.
