GBP/JPY Technical Analysis: Resistance Found Above 186.00
To receive Ilya's analysis directly via email, please SIGN UP HERE
- GBP/JPY Technical Strategy: Flat
- Support: 183.47, 181.84, 179.19
- Resistance: 186.11, 187.44, 189.41
The British Pound retreated against the Japanese Yen after finding resistance above the 186.00 figure. Near-term support is in the 183.47-184.31 area, marked by the 14.6% Fibonacci retracement and the November 6 high, with a break below that on a daily closing basis exposing the 23.6% level at 181.84. Alternatively, a reversal above the November 20 high at 186.11 clears the way for a challenge of the 38.2% Fib expansion at 187.44.
Prices are too close to support to justify entering short from a risk/reward perspective. On the other hand, the absence of a defined bullish reversal signal suggests that taking up the long side is premature. With that in mind we will remain flat for now.
Add these technical levels directly to your charts with our Support/Resistance Wizard app!
Daily Chart - Created Using FXCM Marketscope 2.0
--- Written by Ilya Spivak, Currency Strategist for DailyFX.com
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.