- GBP/JPY rises to the fresh high since May 21 as the UK election poll keeps ruling Tory party at the helm.
- Sustained rise beyond the May month high holds the key to run-up towards low marked early in the year.
- 61.8% of Fibonacci retracement acts as near-term strong support.
With a famous YouGov MRP poll predicting the ruling Tory Party to have a huge lead in the United Kingdom’s (UK) December month elections, GBP/JPY rises to fresh six months high, around 141.77, during early Asian session on Thursday.
Read: YouGov Poll: MRP model projects a Tory majority of 68 – The Times
While prices are at the six month top, the quote needs to sustain a break above May month high of 141.75 in order to extend its rise towards March-April lows, near 143.72/78. In doing so, May 14 high near 142.18 can offer an intermediate halt.
Also, May month high of 146.52 will be on the bull’s radar if prices manage to stay positive above 143.78.
Alternatively, 61.8% Fibonacci retracement of March-August fall, near 140.30, followed by 140.00 round-figure, will keep the pair’s near-term declines limited.
Should there be additional weakness past-140.00, 200-day Simple Moving Average (SMA) level of 138.41 will be on the cards.
GBP/JPY daily chart
Trend: Bullish
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