GBP/JPY cross attempting gains above 131.00

Offered tone around Yen gathered pace in Asia, pushing GBP/JPY above 131.00 levels.

Hovers above 5-DMA

At the time of writing, the cross was trading just above 5-DMA level of 131.03. British Pound extended gains above 1.30 levels, while Dollar-Yen pair moved back above 100.00 levels on hawkish comments from NY Fed President Bullard.

Consequently, the cross bottomed out at 129.07 and is now looking to extend gains above 131.00 levels. Later in the day, US labor market data could influence the pair.

GBP/JPY Technical Levels

A break above 10-DMA level of 131.85 would open doors for a re-test of 133.21 (Brexit day low). A cut above the same could yield 135.00 handle. On the lower side, failure to sustain above 5-DMA level of 131.03 could end up sending prices lower to 130.00 and 12907 levels.