- GBP / JPY continues to move sideways after failing to stay above 150.60.
- The pound shows vulnerability to the downside, continues to test 150.00.
The GBP/JPY it momentarily traded above 150.50 / 60 but could not hold and fell back, reaching levels below 150.00. It continues to move sideways after the drop from 153.00.
Technical indicators are stagnant and do not offer clear signals. The bias is slightly skewed to the downside. A consolidation below 149.90 would deteriorate the outlook, suggesting a test of the weekly low at 149.60. Then the next target is seen at 149.00 / 10.
A recovery above 150.60 would ease the downward pressure, pointing to an extension towards the 151.10 / 15 area (horizontal resistance / previous uptrend line). The next level to watch is 151.25 (20-day SMA).
4 hour chart