FXStreet (Mumbai) – The GBP/JPY pair failed to sustain above the 50-DMA at 184.81 levels, but continues to trade with moderate gains ahead of the US session.
Rejected at hourly 50-MA
The turn lower from the 50-DMA also marked a failure to sustain above the hourly 50-MA; now seen at 184.79 levels. The traders turned a blind eye towards the UK data – consumer credit, money supply and mortgage approvals and ditched cable to 1.5 levels.
Meanwhile, the Japanese Yen tumbled against the USD as the 2-year treasury yield revisited 5-1/2 year high. Consequently, the cross failed at 50-DMA, but still remains moderately in a positive territory.
GBP/JPY Technical Levels
At 184.70, the immediate resistance is seen at 184.79 (hourly 50-MA)+184.81 (50-DMA), followed by a hurdle at 184.90 (hourly 100-MA). A break above would expose 185.66 (Nov 26 high). On the other side, a break below 184.25 (previous day’s low) would expose 183.90 (Oct 28 low).
(Market News Provided by FXstreet)