GBP/JPY Tumbles, Eyeing 158.00 Mark
The GBP/JPY
pair witnessed a sharp reversal from 162.50-60 strong resistance,
dragging the pair back below 160.00 psychological mark to currently
trade below 158.50 level.
In the previous two week, the pair had
managed to register a handsome recovery from its lowest level since Aug.
2013 on declining fears of a 'Brexit' and on expectations that BoJ
would announce a additional stimulus. However, as BoJ failed to deliver
the expected stimulus, the pair reversed all of its current week's gains
and might now be headed for its first weekly in the past three.
Technical levels to watch
From
current levels, the pair might take some support near 158.00 round
figure mark. Additional selling pressure below 158.00 mark seems to
continue dragging the pair towards its next major horizontal support
near 156.50-30 area.
On the upside, 159.00 round figure mark
would now be key level to watch for. Should the pair manage to move back
above this key resistance area, it could possibly be headed back above
160.00 psychological mark, towards testing its next major resistance
near 161.50-60 area.
