GBP/JPY consolidating around 133.00

GBP/JPY is alternating gains with losses at the beginning of the week, trading in a tight range around the 133.00 handle.

GBP/JPY focus on BoJ

The cross is looking to stabilize in the lower end of the recent range following last Friday’s deep pullback to the area of 132.80, or fresh 3-week lows, following a buoyant greenback in response to auspicious results from US consumer prices.

GBP/JPY remains unable to gather traction for the time being, dropping for two weeks in a row while market participants remain wary ahead of the BoJ meeting early on Wednesday.

GBP/JPY key levels

As the moment the cross is gaining 0.03% at 133.03 and a break above 134.95 (55-day sma) would expose 136.19 (23.6% Fibo of post-Brexit down move) and finally 138.88 (high Sep.2). On the other hand, the initial support lines up at 129.19 (low Aug.16) followed by 128.77 (2016 low Jul.6) and then 118.70 (low Jun.1 2012).