GBP/JPY stronger, looks to retake 140.00

GBP/JPY remains on a firm note following the Asian session on Monday, currently in a consolidative move below the 140.00 handle.

GBP/JPY supported at 139.00

The cross keeps the recovery mood following last week’s sharp appreciation of the Sterling and the prevailing selling bias surrounding the Japanese safe haven.

However, sellers have stepped in around Friday’s tops above 143.00 the figure, prompting the cross to deflate somewhat and return to current levels.

In the data space, the only release of note in Japan will be the advanced Manufacturing PMI due on Friday, whereas key inflation figures are due in the UK docket tomorrow.

GBP/JPY key levels

As the moment the cross is up 0.90% at 139.74 and a break above 143.24 (high Jul.15) would expose 144.50 (50% Fibo of post-Brexit down move) and finally 149.71 (55-day sma). On the other hand, the next support lines up at 138.14 (20-day sma) followed by 136.19 (50% Fibo of post-Brexit down move) and then 128.77 (2016 low Jul.6).