GBP/JPY flat lined even as UK-Japan yield spread hit 6-week low

GBP/JPY remains flat lined around 144.30 even though the spread or the difference between the UK 10-year Gilt yield and the Japan 10-year bond yield hit a 6-week low of 1.072 in Asia. 

The currency pair faded the spike to 144.72 yesterday, despite which the bears have not been able to push the prices below the key support of 144.02 [July 24 low]. 

The data docket is thin in Asia and Europe; hence the yield spread and the cross may remain flat lined, unless risk aversion strengthens the demand for the Japanese Yen. 

UK-Japan 10-yr yield spread

GBP/JPY Technical Levels

An end of the day close below 144.02 [July 24 low] would establish a lower lows formation and shall open doors for 143.22 [50% Fib R of 138.67-147.77] and 143.00 [zero levels]. On the higher side, breach of resistance at 144.79 [5-DMA] would expose 145.19 [10-DMA] and 145.62 [23.6% Fib R of 138.67-147.77].