GBPJPY Price Analysis: Rebound towards 167.00 appears elusive
- GBPJPY grinds higher around intraday top, snaps two-day downtrend.
- Symmetrical triangle, 200-HMA challenge immediate recovery despite firmer oscillators.
- Sellers need validation from 165.00 to aim for previous monthly low.
GBPJPY seesaws around the intraday high as buyers struggle to defend the first daily gains in three heading into Thursday’s London open. In doing so, the cross-currency pair makes rounds to 166.60-70 of late.
That said, the quote’s latest rebound could be linked to its bounce off the one-week-old ascending trend line, as well as bullish MACD signals and firmer RSI, not overbought.
However, a horizontal area comprising multiple hurdle marked since November 03, as well as the 100-HMA, restrict the GBPJPY pair’s immediate upside between 167.20 and 167.30.
Even if the pair manage to cross the 167.30 resistance, the monthly resistance line and the 200-HMA, respectively around 167.80 and 168.30, could challenge the quote’s additional north-run.
It’s worth noting that the weekly high near 169.10 acts as an extra filter to the north.
On the flip side, GBPJPY sellers will wait for a clear downside break of the aforementioned weekly support line, close to 166.00 at the latest, to retake control.
Following that, the monthly low near 165.10 and late October’s trough near 165.00 could challenge the bears before directing bears toward the previous month’s bottom of 159.73.
During the fall, the early August swing high of around 164.00 and the 160.00 round figure could offer intermediate halts.
GBPJPY: Hourly chart
Trend: Limited upside expected
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.
