- GBP/JPY dipped back from earlier highs near 155.00 to the low 154.00s but remains within recent ranges.
- The pair is still trading in the green after nursing a recovery from an earlier weekly dip.
- There is notable resistance in the 153.00 area and resistance in the 155.50 area.
GBP/JPY held within a 154.00-155.00ish range on Friday, as the pair continued to nurse a recovery from its earlier weekly dip to sub-153.00 levels. The pair, which was as much as 0.75% down at the start of the week, now trades with on the week gains of about 0.15% in the 154.20s. A late yen bid on Friday that has propelled the safe-haven currency to the top of the G10 performance table has seen the pair pull back from earlier session highs closer to 155.00, but the pair continues to trade broadly flat on the day and within recent ranges.
Looking ahead to next week, technicians will be keeping an eye on support in the 153.00 area where not only this week’s lows reside, but also the 200-day moving average. If another broad downturn in risk appetite (like what happened last week) sends the pair back lower again, a break below this area would open the door to a test of the key 152.40/50 balance area that has provided both support and resistance since last September. Conversely, to the upside, traders should keep an eye on notable resistance in the 155.50 area. The Bank of England policy announcement on Thursday will be the major economic event of the week.
Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer. Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. Risk Disclosure: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.
Recommended content
Editors’ Picks
AUD/USD languishes near multi-year low after RBA meeting minutes
AUD/USD remains depressed after the December RBA meeting minutes reiterated that upside inflation risks had diminished, which reaffirms bets for a rate cut in early 2025. This, along with concerns about China's fragile economic recovery and US-China trade war, undermines the Aussie and weighs on the currency pair.
USD/JPY sticks to positive bias after BoJ meeting minutes
USD/JPY holds steady above the 157.00 mark and moves little following the release of the October BoJ meeting minutes, emphasising a cautious approach to monetary policy amid domestic and global uncertainties. Adding to this, doubts over when the BoJ will hike interest rates again, which, along with a positive risk tone, undermines the safe-haven JPY.
Gold flat lines above $2,600 ahead of holiday trading week
Gold price trades flat around $2,610 during the early Asian session on Tuesday. Markets face a relatively quiet trading session ahead of the holiday trading week. The US Richmond Fed Manufacturing Index for December is due later on Tuesday.
Ethereum risks a decline to $3,000 as investors realize increased profits and losses
Ethereum is up 4% on Monday despite increased selling pressure across long-term and short-term holders in the past two days. If whales fail to maintain their recent buy-the-dip attitude, ETH risks a decline below $3,000.
Bank of England stays on hold, but a dovish front is building
Bank of England rates were maintained at 4.75% today, in line with expectations. However, the 6-3 vote split sent a moderately dovish signal to markets, prompting some dovish repricing and a weaker pound. We remain more dovish than market pricing for 2025.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.