- GBP/JPY remains pressured around 11-week low even as bears take a breather after three-day downtrend.
- Clear break of 18-month-old support line joins bearish MACD signals and sustained trading below 200-DMA to favor sellers.
- Late 2021 lows on the bear’s radar, buyers need validation from the monthly resistance line.
GBP/JPY struggles to defend 151.00, steady near the lowest levels since late December during Tuesday’s Asian session.
The cross-currency pair refreshed the multi-day low the previous day while extending the last week’s downside break of an ascending support line from September 2020, now a resistance line around 152.40.
Adding strength to the bearish bias are the downbeat MACD signals and the pair’s sustained trading below the 200-DMA, as well as a one-month-old resistance line.
That said, GBP/JPY bears are on the way to challenge late 2021 lows around 149.00. However, lows marked during late July and February of the last year, respectively around 148.45 and 147.40, will challenge the pair’s further downside.
Meanwhile, the previous support from late 2020 challenges the quote’s recovery moves near 152.40.
Following that, the 200-DMA and a descending trend line from February 10, near 153.40 and 154.65 in that order, will challenge the GBP/USD buyers before giving back control to them.
GBP/JPY: Daily chart
Trend: Further weakness expected