GBP/JPY consolidating before next rally?

FXStreet (Córdoba) - The pound is trading practically unchanged against the yen on Monday on a quiet day for GBP/JPY, that remains between Friday’s range.

GBP/JPY unable to rise above 194.00


The pair approached twice during the day to the 194.00 area but it failed to break higher and pulled back. To the downside, on European hours moved toward 193.00 but rebounded.

The pound was the worst among European currencies on Monday while the yen, dropped in the market as stocks finished higher in Europe and were climbing modestly in Wall Street.

GBP/JPY outlook

The pair broke above 193.00 last week, peaked at 194.37 and then consolidated. The short term outlook still favors the pound but it needs to consolidate on top of 194.00 to gain strength. To next key level is the 196.00 handle, that it was tested last month.

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