GBP/JPY fails once again near daily tops

The cross in the GBP/JPY is seen consolidating yesterday’s steep drop, after having failed to sustain the break above 139 handle.

GBP/JPY back below 139 handle

Currently, GBP/JPY trades -0.17% lower at 138.74, having posted a day’s high at 139.22 and a day’s low at 138.57. GBP/JPY’s recovery from daily lows lost legs once again near 139.20 region, sending the rate back towards the lower bound of today’s trading range.

The latest leg down in the cross is largely on the back of fresh selling interest seen behind USD/JPY, as the demand for yen picks-up pace amid further deterioration in risk sentiment.

Moreover, the sustained bearish pressure on the cable continues to keep any recovery in GBP/JPY short-lived.

All eyes remain on the USD price-action ahead of the US GDP release due later in the NA session. While from the UK docket, we have the second-tier in Net lending to individuals and mortgage approvals data due later in Europe.

GBP/JPY Levels to consider 

The pair has an immediate resistance at 139.22 (daily high), above which 139.64 (daily pivot) could be tested. On the flip side, support is seen at 138.10 (daily S1) that at 137.18 (Nov 23 low).