• Sterling remains on the defensive as Brexit fears hang over Britain.
• Thin data for Tuesday sees risk flows undisturbed.

The GBP/JPY is trapped near recent lows as the new trading week opened up with Brexit concerns carrying over the weekend, dragging on the Sterling against the safe-haven Yen.

The divide between UK Prime Minister Theresa May's current Brexit proposal and European Union leaders in Brussels remains an uncrossable chasm, and markets are winding themselves up over the growing possibility of a messy Brexit scenario.

BRC Like-For-Like figures for the year into August came in at only 0.2%, missing the 0.3% forecast and marking in even further below the 0.5% previous reading.

The economic calendar for the Yen is a quiet showing this week, but Asia market traders are nevertheless cautious this week as global trade tensions threaten to spill over even further, and shaky emerging markets are still warning of contagion potential into broader market spheres.

GBP/JPY levels to watch

The Sterling-Yen pairing is trading just beneath the 143.00 technical level, and yesterday's low is currently providing thin support from 142.85, though the bearish gap that kicked the week off remains unclosed, and bulls will be keen to push the pair back towards 143.95, above the current week's high of 143.70.