GBP/JPY Price Analysis: Buyers stay hopeful above 151.00 despite recent pullback
- GBP/JPY consolidates the heaviest daily jump in 12 days.
- Sustained break of two-month-old resistance, bullish MACD signals favor buyers.
- 100/200 DMAs, 61.8% Fibonacci retracement level appears a tough nut to crack for bulls.
- Bearish have a bumpy road to return, 148.95 is the key.
GBP/JPY grinds higher past 151.00, down 0.05% intraday near 151.30 during early Wednesday morning in Europe.
The cross-currency pair jumped the most since December 06 the previous day and crossed the key resistance line from late October. The resistance break also gains support from the bullish MACD signals to keep buyers hopeful despite the latest pullback.
That said, the 152.00 round figure may lure intraday bulls but a convergence of the 100-DMA, 200-DMA and 61.8% Fibonacci retracement (Fibo.) of September-October upside, around 142.50, will be a crucial upside hurdle to watch afterward.
In a case where GBP/JPY rises past 152.50, a 50% mean reversion level of 153.60 may act as an intermediate halt during the likely rush towards the mid-November high close to 154.80.
Meanwhile, pullback moves may initially aim for the resistance-turned-support near 150.95, a break of which will recall the 150.00 threshold to the chart.
However, GBP/JPY bears remain unconvinced until the quote stays beyond the three-week-old support line near 149.60. It’s worth mentioning that September’s low of 148.95 should challenge further downside, if not then a fall towards the yearly bottom of 148.45 can’t be ruled out.
GBP/JPY: Daily chart
Trend: Further upside expected