Move above and stay above would be more bullish
The GBPJPY is trending higher today. You can see that clearly on the 5-minute chart. The price opened above its 100 bar MA (blue line), corrected toward the line in the early Asia-Pacific session and has remained above that MA line, and a slightly higher trend line since. The trend line comes in at 145.48. The 100 har MA comes in at 145.418 and is moving higher. If the price stays above each, the bullish trend is in tact.
What may stall the rally, is that the pair is now testing its key 100 day MA (blue overlay line in the hourly chart below).
Last Thursday, the price spiked above that MA line, but quickly retreated. A move back above now (and staying above), would be more bullish and should solicit more buying.
Key borderline level for the bulls and the bears. The barometer for the pair – bullish or bearish – relies on what happens here.
A move above and then the close by 38.2% at 145.808, opens the upside for a more bullish bias.
Holding here and traders will be eyeing the trend line and the 100 bar MA on the 5-minute chart for shorter term intraday clues.
A battle is on as a key level is tested in what is a trend move today.