GBP/USD: Pound drops from 4-month high at 1.5160 to levels above 1.5000

The Pound has pulled back from 4-.month high at 1.5160 reached yesterday to levels right at 1.5000 support which has been tested on late Asian session. 1.4990/1.5000 support level remains intact and the Pound attempts to pick op from there.Initial support lies at the mentioned 1.4990/1.5000 level, and below there 1.4950 (Apr 15,17 and 30 high) and 1.4830 (May 4 low).

On the upside, the Pound could find resistance at 1.5065 (Apr 16 high) , and above there, 1.5095 and 1.5160.GBP/JPY rally from 139.00 low on Apr 28 has capped at 149.90 high yesterday and the Pound has dropped to 146.93 low on Asian session. Support levels for the Pound lie at 146.95 and 146.55. On the upside, Pound might find resistance at 147.80, and 149.90.

USD/JPY: The Dollar drifts lower; attempts to remain above 98.00

Failure to break above 99.60 resistance level has brought the dollar to intra-week low at 97.90 so far, and the pair attempts to remain above 97.90/98.00 levels.Initial support remains at the mentioned 97.90/98.00 level, and below there, the Dollar might find support at 97.45 and 97.15 (Apr 29 high).

On the upside, resistance levels remain at 98.35 and 98.60; above there, 99.20 (May 5 high).According to Nicole Elliott, senior technical analyst at Mizuho Corporate Bank, affirms that the pair is shaping a “heat and shoulders” pattern: “Tricky as prices are supported by a large Ichimoku ‘cloud’ yet a potential (if crooked) ‘head-and-shoulders’ pattern is forming. Expect more hesitation between 96.00 and 99.00 for the rest of this week