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GBP/JPY hesitates Monday & opens lower Tuesday; still bullish with 173.91 target

FXstreet.com (Barcelona) - GBP/JPY is still drifting lower just below its upside range at 173.91 to 175.35. Light trading and a lack of data Tuesday may be an excuse for traders to wait until Thursday before trying for the upside test.

GBP/JPY traders likely treading very lightly until after 1/1

There are no data points due out from Japan this week as it celebrates the New Year’s holiday. Britain will not be releasing any more data until it reports its Manufacturing PMI on Thursday. The holiday crews plus the lack of data is likely to make Tuesday’s session a throw-away for GBP/JPY traders.

Technical outlook for GBP/JPY

Technicians say that GBP/JPY is on the verge of testing the next upside target for the cross at 173.91 which is the lower edge of a range of Fibonacci price targets. Above that, the upper edge of that range comes in at 175.35. Support for the cross comes into play at last Monday’s low of 169.76 and is followed up by the 12/17 low at 166.57.

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