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7 Mar 2014
GBP/JPY is cautiously trying to develop the downside correction
FXStreet (Moscow) - GBP/JPY has been consolidating in Asia with a slight downside bias. The cross started the day at 172.48 and touched the current Asian low at 172.17.
GBP/JPY is a real star this week
GBP/JPY bulls were unstoppable on Thursday as the cross smashed two psychological resistance levels and settled well above 172.00, at 172.47. It’s been more than a month since we saw GBP/JPY at these levels. From the fundamental point of view, the key risk event for GBP - the BOE monetary policy meeting - is out of the way, so the GBP traders may just relax and wait for the knock on effects from the Non-Farm Payrolls reports that are published later today. Also don’t forget to stay focused on geopolitical situation as any signs of Ukrainian crisis escalation could send JPY higher due to anti-risk fever. From the technical point of view, the cross is overbought after a nearly 300-pips growth this week, so the traders may decide that it would be safer to take profit ahead of the weekend. The key levels to watch: the closes support comes at the Asian low of 172.17 and followed by 172.00, while the resistance is seen at 172.50 and then at 172.70.
What are today’s key GBP/JPY levels?
Today's central pivot point can be found at 172.09, with support below at 171.33, 170.20, and 169.44, with resistance above at 173.22, 173.98 and 175.10. Hourly Moving Averages are bullish, with the 200SMA at 170.52 and the daily 20EMA at 170.26. Hourly RSI is neutral at 60.
GBP/JPY is a real star this week
GBP/JPY bulls were unstoppable on Thursday as the cross smashed two psychological resistance levels and settled well above 172.00, at 172.47. It’s been more than a month since we saw GBP/JPY at these levels. From the fundamental point of view, the key risk event for GBP - the BOE monetary policy meeting - is out of the way, so the GBP traders may just relax and wait for the knock on effects from the Non-Farm Payrolls reports that are published later today. Also don’t forget to stay focused on geopolitical situation as any signs of Ukrainian crisis escalation could send JPY higher due to anti-risk fever. From the technical point of view, the cross is overbought after a nearly 300-pips growth this week, so the traders may decide that it would be safer to take profit ahead of the weekend. The key levels to watch: the closes support comes at the Asian low of 172.17 and followed by 172.00, while the resistance is seen at 172.50 and then at 172.70.
What are today’s key GBP/JPY levels?
Today's central pivot point can be found at 172.09, with support below at 171.33, 170.20, and 169.44, with resistance above at 173.22, 173.98 and 175.10. Hourly Moving Averages are bullish, with the 200SMA at 170.52 and the daily 20EMA at 170.26. Hourly RSI is neutral at 60.