- GBPJPY bounces off uptrend line
- Stochastic and RSI head higher
GBPJPY has been moving higher over the last few days after the rebound from the support level around 188.00 and is currently trading near 192.00. This upward movement suggests a potential shift in market sentiment, with buyers stepping in to push prices higher.
The stochastic oscillator is heading toward the overbought area with strong momentum so far, while the RSI is trying to boost its positive sentiment below the neutral threshold of 50.
If the price continues the upside move, then it may find immediate resistance at the 193.55 level, which stands near the 20-day simple moving average (SMA). Slightly higher, the 200- and 50-day SMAs around 195.00 could pose a significant obstacle before the price moves towards the crucial 199.70 level.
Alternatively, a bearish wave could potentially lead traders to engage in another battle with the short-term uptrend line at 188.90, which is located ahead of the 188.10 barricade. Below that, the bearish structure may pause at the 183.70 support.
Overall, the technical indicators suggest that GBPJPY could continue its upward trajectory in the short term, especially if it breaks above the resistance level at 195.00. However, traders should remain cautious and watch for any signs of reversal.
