• GBP/JPY clings to minor gains, defends the previous day’s rebound from two-week low.
• Steady RSI, short-term trend continuation pattern suggest further grinding of prices.
• Key SMAs add to the downside filters; bulls can aim for late 2022 top on crossing 168.00.

GBP/JPY grinds higher around 167.00, near 166.85 heading into Thursday’s London open, amid sluggish markets. In doing so, the cross-currency pair remains sidelined within a fortnight-old trading range.

However, the steady RSI (14) line and the quote’s successful trading above the 100-bar Simple Moving Average (SMA), as well as the 200-SMA, keep the GBP/JPY buyers hopeful.

That said, the aforementioned trading range’s top surrounding 168.00 appears a tough nut to crack for the pair buyers to restore the market’s confidence. Following that, a run-up toward the late 2022 peak of around 169.30 can be quickly witnessed on the chart.

Though, the 170.00 round figure and the previous yearly high surrounding 172.15 cab prod the GBP/JPY buyers afterward.

On the contrary, the 100-bar SMA level of 165.95 limits intraday fall of the GBP/JPY pair ahead of the 165.50-40 support zone forming part of the previously stated range.

In a case where the cross-currency pair remains bearish past 165.40, the 200-SMA level surrounding 164.00 can act as the last defense of the GBP/JPY buyers.

It’s worth noting that the monthly low of around 162.80 and March’s bottom of near 158.30 can lure the pair bears past 164.00.

GBP/JPY: Four-hour chart

Trend: Limited upside expected