Back
13 Mar 2014
GBP/JPY breaks above 171.00
FXStreet (Moscow) - GBP/JPY is growing after a movement within in a narrow 35-pips range; the cross opened at 170.66 and has moved to its current level at 171.22
UK economy is in good shape, but investors are not interested
Three negative daily closes with lower highs and lower lows prove that the GBP/JPY topped out at 173.55 (daily high of March, 7). The cross returned to the range where it had spend the nearly two weeks in February, and the chances are that it will pause here for a while. Let us not to forget that the Japanese currency is growing mostly due to anti-risk sentiments, while the British pound has more substantial reasons to strength. According to the latest forecasts, UK’s economies will grow faster than any other economy from G7. Even though the BOE is not inclined to raise rates anytime soon, positive macroeconomic statistics will become GBP-supportive, once the markets turn their attention to the fundamentals. On the intraday basis the key levels to watch: 171.00 on the upside, followed by 171.43, and 170.10 on the downside.
What are today’s key GBP/JPY levels?
Today's central pivot point can be found at 170.79, with support below at 170.11, 169.47, and 168.79, with resistance above at 171.43, 172.11 and 172.75. Hourly Moving Averages are bearish, with the 200SMA at 171.09 and the daily 20EMA at 170.69. Hourly RSI is neutral at 44.
UK economy is in good shape, but investors are not interested
Three negative daily closes with lower highs and lower lows prove that the GBP/JPY topped out at 173.55 (daily high of March, 7). The cross returned to the range where it had spend the nearly two weeks in February, and the chances are that it will pause here for a while. Let us not to forget that the Japanese currency is growing mostly due to anti-risk sentiments, while the British pound has more substantial reasons to strength. According to the latest forecasts, UK’s economies will grow faster than any other economy from G7. Even though the BOE is not inclined to raise rates anytime soon, positive macroeconomic statistics will become GBP-supportive, once the markets turn their attention to the fundamentals. On the intraday basis the key levels to watch: 171.00 on the upside, followed by 171.43, and 170.10 on the downside.
What are today’s key GBP/JPY levels?
Today's central pivot point can be found at 170.79, with support below at 170.11, 169.47, and 168.79, with resistance above at 171.43, 172.11 and 172.75. Hourly Moving Averages are bearish, with the 200SMA at 171.09 and the daily 20EMA at 170.69. Hourly RSI is neutral at 44.