The Great Britain Pound (GBP) inched higher against the Japanese Yen (JPY) on Wednesday,  increasing the price of GBPJPY to more than 145.00 following some major economic releases. The technical bias may remain bearish since the pair’s price marked a higher low in the recent upside move.

GBP/JPY Technical Analysis

Currently, the pair is being traded around 144.24, the price may come across a resistance around 145.41, the immediate horizontal resistance. Another resistance level may come around 147.05, the 61.8% Fib level resistance ahead of 149.34, the trend line resistance as demonstrated in the given below chart.

On the downside, a support can be witnessed around 140.87, an immediate trendline support ahead of another support 138.00, the psychological number and then comes 135.59, the key horizontal level as demonstrated in the given above chart. The technical bias shall remain bearish unless 146.09, the major horizontal resistance level remains intact.

Japan’s Machinery Order News

In Japan, the figure concerning the rate of machinery orders remained at 6.8.0% in August, as compared to 11.0% during the month before, up beating the expectation of economist which was -4.0%. The data is taken from a news released by the Cabinet Office, Japan.

The figure represents the total number of orders placed with major manufacturers in the country. These orders are considered as a binding obligation on producers to deliver goods and services to consumers in legal terms. It is to be noted that the figure is considered as the best indicator of the level of businesses confidence.

Generally speaking, a higher reading in this regard is taken as a bullish trend for the Japanese Yen( JPY) whereas a lower reading suggests a bearish market for the Japanese Yen (JPY).

Trade Idea

Considering the overall price behavior of the pair over the last couple of days, selling the GBPJPY around current levels can be a good decision in short to medium term.