• GBP/JPY extends Monday’s gains to refresh intraday high.
  • Firmer RSI suggests additional upside, 200-SMA challenges the bulls.
  • Sellers need validation from monthly low, early September’s highs.

GBP/JPY picks up bids to refresh intraday top near 154.00, up 0.18% on a day during early Tuesday.

That said, the cross-currency pair consolidated Friday’s heavy losses the previous day while the latest recovery moves challenge a downward sloping trend line from November 03.

Given the firmer RSI line, the pair buyers are likely to overcome the immediate hurdle around 154.10. However, the 200-SMA level of 154.90 will be a tough nut to crack for the GBP/JPY bulls afterward.

Even if the quote rises past 154.90, the 155.00 threshold and 61.8% Fibonacci retracement of October-November downside, around 156.00, will challenge additional upside.

On the flip side, pullback moves may retest the 153.00 round figure ahead of challenging the monthly low near 152.40.

Should GBP/JPY bears dominate past 152.40, multiple levels marked during early September around 152.20-25, followed by the 152.00 psychological magnet, will question the further downside.

GBP/JPY: Daily chart

Trend: Further recovery expected

This article was originally published by Fxstreet.com.Read the original article here.

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