GBP/JPY Price Analysis: double-top confirmed, target 149.00

• Yesterday’s close under 151.16, could confirm the double-top, 149 is the target.
• GBP/JPY post modest gains 0.08%, eyes 151.00.

The GBP/JPY trades flat in the session at 150.59 slightly up 0.01%. In the previous session, the pair closed at 150.51 a loss of 0.50%. 

GBP/JPY Technical outlook

Daily chart

The GBP/JPY is trading up 0.01% at 150.59. The cross-currency has strong resistance at 151.00 the pair is trading well below the shorter-term moving averages, while the 200-day moving average, is at 148.45. The double-top chart pattern is in place, and its target is 149.00. Nevertheless, as recent price action develops, a move towards the neckline at 151.00 could not be ruled out. If this happens, sellers left behind could take advantage and enter the market. On the other hand, buyers will need a close above 151.16, so they could negate the pattern and regain control of the trend. RSI is 37.41 trendless, while the Average True Range (ATR) is 82 pips.

4-hour chart.

This chart depicts that GBP/JPY is trending lower. Meanwhile, the pair is trading in a range between 150.34 - 150.87, modestly tilted upwards. The 50-simple moving average is 152.35 and almost crossing under the 100-SMA, while the 200-SMA is at 152.14. On the downside, support is at 150.00, and 149.00 (Daily chart double-top target).

RSI is at 24 at oversold levels, heading upwards, while the Average True Range in the 4-hour chart is 38 pips.