GBP/JPY trims a part of intraday gains, holds steady above 155.00 mark

  • A combination of factors failed to assist GBP/JPY to capitalize on its intraday positive move.
  • The prevalent cautious mood benefitted the safe-haven JPY and capped any meaningful gains.
  • Stronger UK inflation figures extended some support to the GBP and helped limit the downside.

The GBP/JPY cross retreated around 30-35 pips from daily tops and was last seen trading with only modest gains, just above the key 155.00 psychological mark.

The cross struggled to capitalize on its intraday positive move, instead met with some fresh supply near the 155.35-40 region amid a modest pickup in demand for the Japanese yen. Nervousness ahead of the highly-anticipated FOMC policy decision was evident from a softer tone around the equity markets. This, in turn, benefitted traditional safe-haven currency and was seen as a key factor that capped the upside for the GBP/JPY cross.

On the other hand, the British pound was supported by a subdued US dollar demand and hotter-than-expected UK inflation figures. The UK Office for National Statistics (ONS) reported this Wednesday that the headline UK CPI held steady at 0.6% MoM in May and accelerated 2.1% on a yearly basis from 1.5% YoY previous. Excluding volatile food and energy items, the Core CPI rose 2.0% YoY during the reported month against 1.5% anticipated.

The supporting factor, to a larger extent, was offset by concerns about the EU-UK stand-off on the Northern Ireland protocol. This, along with the UK government's decision to delay the final stage of easing lockdown measures, continued acting as a headwind for the sterling. Nevertheless, the GBP/JPY cross, so far, has held within the previous day's broader trading range as investors await fresh catalyst before placing directional bets.

Technical levels to watch


Today last price 155.07
Today Daily Change 0.07
Today Daily Change % 0.05
Today daily open 155
Daily SMA20 154.89
Daily SMA50 152.9
Daily SMA100 150.74
Daily SMA200 144.48
Previous Daily High 155.49
Previous Daily Low 154.54
Previous Weekly High 155.32
Previous Weekly Low 154.13
Previous Monthly High 156.08
Previous Monthly Low 150.93
Daily Fibonacci 38.2% 154.9
Daily Fibonacci 61.8% 155.12
Daily Pivot Point S1 154.53
Daily Pivot Point S2 154.06
Daily Pivot Point S3 153.58
Daily Pivot Point R1 155.48
Daily Pivot Point R2 155.95
Daily Pivot Point R3 156.42



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. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Feed news

How do emotions affect trade?
Follow up our daily analysts guidance

Subscribe Today!    

Latest Forex News

Latest Forex News

Editors’ Picks

EUR/USD: An inverse head-and-shoulder targets 1.1750 before resuming the down trend

EUR/USD extends its five-day rally, trades above 1.1600. The market sentiment remains upbeat, as major US stock indices record gains between 0.46% and 68%, while the safe-haven status of the US dollar weakens across the board.


GBP/USD bulls flirt with 1.3800 around monthly high, focus on UK inflation

GBP/USD seesaws around 1.3800 as traders brace for the key inflation data during Wednesday’s Asian session. The cable pair cheered hopes of the Bank of England’s (BOE) rate hike, as well as broad US dollar weakness, to refresh the multi-day high the previous day. 


Gold at a critical technical juncture

Gold is subdued and rests in familiar territory awaiting the next major catalyst to kick start it into gear within bullish territory towards the psychological $1,800 level. The stagflation themes feed through into the precious metals hedge. 

Gold News

XRP price will dip before it breaks out

A brief technical and on-chain analysis on XRP price. Here, FXStreet's analysts evaluate how Ripple bulls take control.

Read more

UK September CPI Inflation Preview: Will rising price pressures boost British pound?

Annual CPI in UK is expected to stay unchanged at 3.2% in September. BoE rate hike prospects have been lifting the British pound. GBP/USD could continue to push higher with a daily close above 1.3850.

Read more