GBPJPY is edging slightly higher, following the rebound on the 136.80 support level remained in an ascending channel since the end of March. In trend indicators, the simple moving averages (SMAs) are heading north, however, the RSI is flattening in the positive region. Moreover, the MACD is losing momentum below its trigger line, suggesting a possible pullback.
Should the price decisively close above the 140.70 resistance level, bulls could extend the uptrend towards 142.70, with the region around that level having acted as resistance back in September. Further advances above this level could then target the area around 144.95.
On the other hand, a decline could meet the 20-day SMA at 138.25 ahead of the 40- and 100-day SMAs around 138.15. Slightly lower, the price could retest the middle line of the channel around 136.80, before more bearish movement shifts the focus to the 134.30 barrier, penetrating the upward pattern to the downside.
Summarizing, GBPJPY has been in a rising tendency and any declines below the 133.00 psychological number could switch the market to neutral.
