GBP/JPY Price Analysis: Rebounds sharply, fails again at 152.00

• GBP/JPY bounces and recovers relevant technical levels
• Markets participants await the FOMC decision; on Thursday, will be the BoE.

The GBP/JPY extended the rebound on Wednesday from 150.80 to the 152.00 area. It then pulled back, losing momentum. In the move to the upside, it climbed back above the 21-day moving average in four-hour charts.

Now the 151.60 area is the immediate support, and a slide below would add negative pressure on the pound, exposing 151.25. A consolidation below could open the doors for a test of 150.80.

The signs from the chart are not clear. GBP/JPY rose above flat key moving averages; more than strengthening a potential bullish move, it reduced the odds of a deeper correction.

Price appears to be moving again in a consolidation range between 151.20 and 152.00 ahead of relevant events. In a few hours, the Federal Reserve will announce its decision on monetary policy. On Thursday will be the Bank of England. No change in rates is expected from both central banks. Market participant will look for what they say about the rise in bond yields.

On the upside, the key level continues to be the 152.00 area. A daily close above would open the doors to more gains toward 153.00 with an intermediate resistance at 152.25 (March 12 high).

GBP/JPY 4-hour chart