GBP/JPY remains capped by 141 handle, BOE in focus

The cross in the GBP/JPY recovered 100-pips from daily lows, although failed to take on the recovery above 141 handle amid stalled rally in the USD/JPY pair.

GBP/JPY capped by 141 handle

Currently, GBP/JPY trades +0.22% higher at 140.74, having faced rejection just 1-pip shy of 141 barrier. GBP/JPY is seen reversing a renewed uptick, largely tracing the USD/JPY price-action amid a brief phase of consolidation seen in the US dollar across the board.

Meanwhile, the retreat appears limited as the cable moved-off lows and now reverts towards daily highs reached previously at 1.2497. Focus now shifts towards the BOE Financial Stability Report (FSR) and developments around oil markets, in wake of today’s OPEC meeting.

GBP/JPY Levels to consider 

The pair has an immediate resistance at 140.99 (daily high), above which 141.40 (Nov 29 high) could be tested. On the flip side, support is seen at 139.99 (daily low) that at 139.57 (Nov 24 low).