The GBP/JPY has been declining in March. Let’s catch up on its latest price action.
The GBP/JPY is starting the week with a rally but is stalling just under 183 as we get into the US session. Here, there is a falling trendline resistance and the 100-hour SMA. If price can hold below 183, and the 1H RSI can hold below 60, we still have downside risk back towards the 181-181.25 lows. Below that the 180.25 level would be the short-term target, where we see another support.resistance area and the 50% retracement of the February rally.
Above 183, there is a common resistance around 184-184.20. IF price stalls and retreats from here, GBP/JPY could still be forming a rounded top. Above this area, the pair is more likely to be in bullish continuation, than further consolidation. The 185 high would be in sight, and the the 187.50-188.00 highs, before opening up the 189.71, 2014-high.
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