The pair is trading near the highs but nears the 100-day MA
And the 100-day MA (red line) is just one that refuses to budge over the last two months of trading. Trading this pair is no different than the USD/JPY in my view, right now yen pairs are traded based on risk sentiment in the market more than anything else.
But technically, this is a key level that buyers need to break above to see the pair test the 23.6 retracement level @ 152.53.
The good news for buyers though is that sterling tends to have a stellar month in April. This is probably one for the seasonals as well I reckon. Here's how GBP/USD has performed over the last 10 years in April:
Yup, a positive gain for the last ten Aprils. That is something quite hard to ignore to be honest. And that sort of run is also mostly mirrored in GBP/JPY seasonals too:
So yeah, but let's not get too carried away just yet. As mentioned, the break of the 100-day MA still needs to come first.
