GBP/JPY surges past 153.00 handle
The GBP/JPY cross extended its sharp ‘Bremain’ led up-surge to 153.50 before retracing a bit to currently trade just above 153.00 mark.
Having touched its lowest level since March 2013 in the previous week, a sudden turnaround in the sentiment surrounding Brexit, following the killing of pro-EU MP Jo Cox, has assisted the pair to stage a remarkable recovery of over 800-pips in less than three trading sessions.
Outcome of the latest opinion polls for the upcoming UK-EU referendum over the weekend showed rising support for the 'Remain' camp and provided the initial boost for the cross. Adding to it, gap-up opening forced traders to rush towards unwinding their bearish GBP bets, triggering further up-surge for the GBP/JPY cross.
Technical levels to watch
On the immediate upside, resistance is pegged near 153.60-70 area, above which momentum could lift the pair beyond 155.00 psychological mark, towards 20-day SMA resistance around 155.50-60 region. Intermediate resistance is seen around 154.00 round figure mark.
On the downside, 152.60-50 now seems to provide immediate support, below which the pair could drift back to an important support near 151.55-50 zone.