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GBP/JPY Price Analysis: Rebounds from weekly lows, eyes 186.30s

  • GBP/JPY halts its bearish momentum, but downside risks remain if it fails to conquer the Tenkan-Sen.
  • A ‘tweezers-bottom’ candlestick chart pattern is forming; further upside expected?
  • Buyers failure to conquer 186.00, could exacerbate a drop toward the 184.50 area.

GBP/JPY snaps four days of losses, climbs 0.31% in the late Tuesday North American session, and exchanges hands at around 186.00 after bouncing from daily/weekly lows reached at 184.45.

The GBP/JPY daily chart portrays the pair as neutral biased, as the slope of the Tenkan and Kijun-Sen shifted flat, which could open the door for range-bound trading. On the upside, the pair’s first resistance would be the Tenkan-Sen at 186.37, followed by the 187.00 figure, ahead of the year-to-date (YTD) high at 188.24.

On the other hand, if GBP/JPY drops below the Kijun-Sen at 184.52, that would pave the way to test the Senkou Span B at 183.15, followed by the bottom of the Ichimoku Cloud (Kumo) at 181.75.

GBP/JPY Price Analysis – Daily Chart

GBP/JPY Technical Levels

 

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