The pair traded to the highest level since December 17, 2019
The GBPJPY moved to the highest level since December 17, 2019 today. To get there, the price had to extend above the swing highs from February 2020 at 144.947. It also had to extend above the highs from Friday and on Monday. Each of those highs stalled just ahead of that level at 144.887 and 144.92 respectively.
The move today pushed above those levels. The high price reached 145.058, just 11 pips above the ceiling level. That is not a lot of momentum. The break is on the verge of failing.
Drilling to the hourly chart. the current price is trading at 144.93 just above the swing highs seen from last weekend this week. In 4 of the last 5 trading hours, the price has traded above and below those swing high levels. The last hourly bar did hold support against the 144.88 level. Can the price stay above?
There is a battle going on and the market is on the ledge wondering if it pushed higher or lower.
The price action will tell the story. Traders looking for a move higher will look for a break above the high at 145.058. On the downside, get below the most recent swing low at 144.787 should solicit more selling on the disappointment of the break.