- GBP/JPY remains close to the 189.00 area, but the rise is still limited
- The feeling of the market is shaken by the uncertainty of the Fed and the weak inflation panorama of the United Kingdom
- The technical panorama is inclined to bassist with key resistance in 188.93 and 189.72
The GBP/JPY is modestly listed up to 189.00 during Tuesday’s session after bouncing from minimums intradicted around 187.47. The rise in the PAR follows a slight recovery of the sterling pound, which briefly reached 1,3423 against the US dollar before going back in the middle of political and economic crossed winds. President Trump’s latest comments addressed to the president of the Fed, Powell, and the renewed speculation about the independence of the Fed continue to weigh on the feeling of risk and project a shadow on the widest panorama of the USD.
Meanwhile, the Japanese Yen remains well backed by safe refuge flows and expectations that the Bank of Japan (BOJ) will continue to harden the policy. This dynamic keeps JPY resistant at all G10 crosses. The British pound, although it still exceeds many peers, shows signs of exhaustion after a strong rebound, since the operators begin to discount possible cuts of rates by the Bank of England (BOE) due to the weak inflation and trends of the labor market.
From a technical perspective, the GBP/JPY issues a bearish signal despite today’s modest profits. The pair quotes near the top of its daily range (187.47–188.83), but the MACD and the amazing oscillator support the sales pressure. The relative force index (RSI) remains neutral at 44.74, while mobile socks paint a clearly bassist panorama. Simple mobile stockings (SMA) of 20 days (190.32), 100 days (192.15) and 200 days (192.84) have a negative slope, accompanied by the bearish confirmation of the EMA of 10 days (188.94) and the 30 -day Ema (190.25). The resistance is found in 188.81, 188.94 and 189.73, while the support is in 188.57.
The general trend is inclined to negative unless a sustained breakup is materialized above 189.70. For now, the GBP/JPY is still vulnerable to deeper setbacks in the midst of political risks and winds against technicians.
GBP/JPY DAILY GRAPH
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
