GBP/JPY pauses four-day downtrend at a fortnight low.
GBP/JPY remains defensive around 163.30, holding lower ground near the two-week bottom heading into Monday’s European session. In doing so, the cross-currency pair jostles with multiple key Daily Moving Averages (DMAs) after declining for the last four consecutive days.
That said, the 21-DMA and the 50-DMA confluence near 163.30-25 appears to be the immediate support for the GBP/JPY pair ahead of the 100-DMA support near 163.00.
If at all the quote declines below 163.00, the 50% Fibonacci retracement level of May-June upside, near 162.10, precedes a four-month-old support line, near 161.60, to challenge the quote’s further declines.
In a case where the GBP/JPY prices break the 161.60 support, the odds of witnessing a south-run towards the 61.8% Fibonacci retracement level near 160.50 can’t be ruled out.
Alternatively, the 164.00 threshold precedes the tops marked in July and September, respectively near 166.30 and 167.35, which could challenge GBP/JPY buyers.Should the cross-currency pair roses past 167.35, the yearly top marked in June around 168.75 and the 170.00 round figure will be in the spotlight.Overall, GBP/JPY remains on the bear’s radar despite the latest inaction.
EUR/USD drops towards 0.9950 as USD rebound gathers strength
EUR/USD is extending losses towards 0.9950 in early European trading. The US dollar recovery is gaining traction amid a cautious tone, as investors reassess aggressive Fed tightening bets amid looming recession risks. Hawkish ECB-speak fails to rescue EUR bulls.
GBP/USD tumbles below 1.1400 amid light trading
GBP/USD is trading on the back foot below 1.1400, amid holiday-thinned market conditions and broad US dollar strength. The UK markets are closed in observance of the Queen’s funeral. Investors brace for the Fed and BOE bonanza this week.
Gold extends losses below $1,670 as DXY strengthens, Fed policy buzz
Gold has witnessed a vertical fall after failing to overstep the critical resistance of $1,680.00 in the Asian session. The precious metal is eyeing more losses as an intraday inventory distribution is indicating the resumption of a downside journey ahead.