#GBPJPY @ 155.401 Weaker than estimated UK economic data and UK’s new budget fueled UK’s recession fears. (Pivot Orderbook analysis)
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- Weaker than estimated UK economic data and UK’s new budget fueled UK’s recession fears.
- A break below the 200-EMA officially shifted the GBP/JPY as bearish biased.
The pair currently trades last at 155.401.
The previous day high was 164.44 while the previous day low was 159.12. The daily 38.2% Fib levels comes at 161.15, expected to provide resistance. Similarly, the daily 61.8% fib level is at 162.41, expected to provide resistance.
GBP/JPY plunged more than 450 pips or 2.93% on Friday, amidst risk-aversion, after PMIs reported by S&P Global showed that the EU and the UK could be headed into a recession. Also, news of a new GBP 161 Billion UK budget to stimulate growth might exert upward pressure on UK Inflation, threatening to deteriorate the already battered economy. At the time of writing, the GBP/JPY is trading at 155.48.
On Friday, the GBP/JPY officially shifted to a bearish bias after tumbling sharply below the 200-day EMA at 160.25, reaching six-month-lows at around 155.33. Due to the size of the collapse, the Relative Strength Index (RSI) accelerated towards oversold conditions, with readings at 25.43, suggesting that the pair might be subject to a mean reversion move.
Nevertheless, if the GBP/JPY drops below the 155.00 figure, a fall towards the March 8 daily low at around 150.97 is on the cards. So the GBP/JPY first support would be the 155.00 figure. Once cleared, the next support would be the January 24 cycle low at 152.90, ahead of the 150.97 mark.
On the other hand, the GBP/JPY’s first resistance would be the 156.00 mark. Break above will expose the May 27 daily low-turned-resistance at 157.87, ahead of the 158.00 mark.
Technical Levels: Supports and Resistances
GBPJPY currently trading at 155.64 at the time of writing. Pair opened at 160.35 and is trading with a change of -2.94 % .
| Overview | Overview.1 | |
|---|---|---|
| 0 | Today last price | 155.64 |
| 1 | Today Daily Change | -4.71 |
| 2 | Today Daily Change % | -2.94 |
| 3 | Today daily open | 160.35 |
The pair remains strongly bearish on the daily time frame. It trades below the 20 SMA @ 163.48, 50 SMA 163.19, 100 SMA @ 163.07 and 200 SMA @ 160.29.
| Trends | Trends.1 | |
|---|---|---|
| 0 | Daily SMA20 | 163.48 |
| 1 | Daily SMA50 | 163.19 |
| 2 | Daily SMA100 | 163.07 |
| 3 | Daily SMA200 | 160.29 |
The previous day high was 164.44 while the previous day low was 159.12. The daily 38.2% Fib levels comes at 161.15, expected to provide resistance. Similarly, the daily 61.8% fib level is at 162.41, expected to provide resistance.
Note the levels of interest below:
- Pivot support is noted at 158.16, 155.98, 152.84
- Pivot resistance is noted at 163.48, 166.62, 168.8
| Levels | Levels.1 |
|---|---|
| Previous Daily High | 164.44 |
| Previous Daily Low | 159.12 |
| Previous Weekly High | 167.22 |
| Previous Weekly Low | 162.75 |
| Previous Monthly High | 163.99 |
| Previous Monthly Low | 159.45 |
| Daily Fibonacci 38.2% | 161.15 |
| Daily Fibonacci 61.8% | 162.41 |
| Daily Pivot Point S1 | 158.16 |
| Daily Pivot Point S2 | 155.98 |
| Daily Pivot Point S3 | 152.84 |
| Daily Pivot Point R1 | 163.48 |
| Daily Pivot Point R2 | 166.62 |
| Daily Pivot Point R3 | 168.80 |
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