GBPJPY, currently trading at 180.955, has ended its three-day decline but hasn’t shown strong momentum. According to the perspective of @nehcap, it is anticipated that there will be more downside movement.

…
This is a premium post.
[s2If !current_user_can(access_s2member_level4)]Please register for FREE REGISTER to read full post below containing analysis. In case of any error or you think you are not able to read the full post below, please email us at support#nehcap.com [lwa][/s2If] [s2If current_user_can(access_s2member_level1)]

• GBP/JPY snaps three-day downtrend but lacks follow-through.

The pair currently trades last at 180.955.

The previous day high was 181.75 while the previous day low was 180.66. The daily 38.2% Fib levels comes at 181.07, expected to provide resistance. Similarly, the daily 61.8% fib level is at 181.33, expected to provide resistance.

GBP/JPY retreats from intraday high as it struggles to defend the first daily gains in four amid the early hour of London open on Monday, mildly bid near 181.00 by the press time.

In doing so, the cross-currency pair justifies the fears about the UK’s employment and growth conditions while also taking clues from the upbeat Treasury bond yields and mixed chatters about the Bank of Japan’s (BoJ) exit from the ultra-easy monetary policy.

With this, the GBP/JPY pair jostles with the 21-day Exponential Moving Average (EMA) hurdle surrounding 181.30.

That said, the bearish MACD signals and the downbeat UK concerns keep the pair sellers hopeful of revisiting the 180.00 threshold. However, an upward-sloping support line stretched from early April, close to 179.60 by the press time, appears a tough nut to crack for the GBP/JPY bears to crack afterward.

Even if the quote drops below 179.60, the 50-EMA support of around 179.30 will act as the last defense of the buyers before directing the quote toward the previous monthly low of surrounding 176.30.

On the contrary, a daily closing beyond the 21-EMA hurdle of 181.30 isn’t an open invitation to the GBP/JPY bulls as a downward-sloping resistance line from early July, near 183.20 at the latest, could challenge the upside moves ahead of highlighting the yearly peak of 184.00 for buyers to watch.

Trend: Further downside expected

Technical Levels: Supports and Resistances

GBPJPY currently trading at 180.9 at the time of writing. Pair opened at 180.72 and is trading with a change of 0.10% % .

The pair is trading below its 20 Daily moving average @ 181.32, above its 50 Daily moving average @ 179.93 , above its 100 Daily moving average @ 173.58 and above its 200 Daily moving average @ 168.24

The previous day high was 181.75 while the previous day low was 180.66. The daily 38.2% Fib levels comes at 181.07, expected to provide resistance. Similarly, the daily 61.8% fib level is at 181.33, expected to provide resistance.

Note the levels of interest below:

• Pivot support is noted at 180.34, 179.95, 179.25
• Pivot resistance is noted at 181.43, 182.14, 182.52

[/s2If]
Download Nehcap EAWe have two EAs that are operational on our LIVE accounts.

1. EA-FIX: Check out the details here. Download EA-FIX . EA-FIX is a non-grid HFT scalper.
2. EA-GROWTH: High quality low dd EA using trend grids. Download EA_GROWTHJoin Our Telegram Group