GBPJPY is lacking bullish impetus to conquer the immediate resistance barricade shaped by the 157.75 barrier and the more than five-year high of 158.20. That said, the simple moving averages (SMAs) are defending the three-week uptrend from the 149.50 trough.
Moreover, the Ichimoku lines are reflecting a pause in bullish forces, while the short-term oscillators have yet to fully line up with the pair’s mood to push higher. The MACD, in the positive zone, is strengthening above its red trigger line, while the RSI is struggling to improve in the bullish territory. On the other hand, the stochastic oscillator has adopted a bearish demeanour supporting a price pullback in the pair.
If the 157.75-158.20 resistance border caps advances, sellers could encounter prompt support in an area between the 157.00 handle and the 50-period SMA at 156.62. Retreating deeper into the Ichimoku cloud, the bears may then meet the key 155.72-156.07 support boundary. From here, should this border fail to dismiss further loss of ground from unfolding, sellers could target the support section from the 155.00 level until the 154.44 barrier.
In a positive scenario, if buyers pilot north of the 157.75-158.20 resistance obstacle, the price may aim for the 159.00 psychological number. Should buying interest intensify further, the pair could then pursue the 160.09-160.65 resistance belt, which was formed from the end of May until the end of June 2016, the former level being a high from where the pair started a collapse of around 27 basis points back in 2016.
Summarizing, GBPJPY is exhibiting a bullish bias above the SMAs and the 155.72-156.07 support zone. Yet, it remains a difficult undertaking to surpass the more than five-year high of 158.20, not to mention the upcoming 160.09 key resistance.
