GBP/JPY: Reversal in the Offing as 193 Resistance Holds Strong
2025.01.24 05:55
- GBP/JPY fails to extend gains
- Immediate resistance lines within SMAs
- Stochastic and RSI head south
is challenging the 193.00 psychological level after the significant rebound off the 189.30 support and the medium-term uptrend line. The market is bullish in the longer-term timeframe, but the technical oscillators suggest another potential pullback. The stochastic is turning lower in the overbought region, while the RSI is pointing down below the neutral threshold of 50.
If the pair fails to extend gains above 193.00, then it may move down again until the ascending trend line and the 190.00 round number. Below that, the 188.10-189.30 support region could be another significant area for traders to look at.
On the other hand, a move to the upside could find immediate resistance at the bearish crossover within the 20- and 50-day simple moving averages (SMAs) at 193.90 ahead of the flat 200-day SMA at 195.25.
Further up, the region within 199.00-199.70 might be the next real struggle for traders.
To sum up, GBP/JPY looks to be in a negative momentum for now. But traders need to be cautious for the 193.00 key level.
