30 Apr 2014
GBP/JPY is at the ready to grow on dovish BOJ
FXStreet (Moscow) - GBP/JPY has recovered from the Asian low of 172.17 and settled at 172.35 ahead go BOJ monetary policy decision.
BOJ is a tricky customer
GBP/JPY ended Tuesday 30 pips higher unaffected by slightly below forecast UK GDP numbers. The cross closed at 172.59, but failed to keep the ground early in Asia today as overall JPY strength pushed it closer to the support level of 172.20 followed by 172.00. UK economic calendar is empty today, so the cross will be influenced mostly by JPY sentiments that might change in a twinkling of an eye if Bank of Japan sounds more doves than expected. Monetary policy decision and Outlook report due later today is the key event risk for the cross. More evidence that the Bak is moving towards extending stimulus will trigger JPY selling across the board.
What are today’s key GBP/JPY levels?
Today's central pivot point can be found at 172.63, with support below at 172.31, 171.91, and 171.60, with resistance above at 173.03, 173.34 and 173.74. Hourly Moving Averages are ьщыедн bullish, with the 200SMA at 172.14 and the daily 20EMA at 171.59. Hourly RSI is bearish at 49.
BOJ is a tricky customer
GBP/JPY ended Tuesday 30 pips higher unaffected by slightly below forecast UK GDP numbers. The cross closed at 172.59, but failed to keep the ground early in Asia today as overall JPY strength pushed it closer to the support level of 172.20 followed by 172.00. UK economic calendar is empty today, so the cross will be influenced mostly by JPY sentiments that might change in a twinkling of an eye if Bank of Japan sounds more doves than expected. Monetary policy decision and Outlook report due later today is the key event risk for the cross. More evidence that the Bak is moving towards extending stimulus will trigger JPY selling across the board.
What are today’s key GBP/JPY levels?
Today's central pivot point can be found at 172.63, with support below at 172.31, 171.91, and 171.60, with resistance above at 173.03, 173.34 and 173.74. Hourly Moving Averages are ьщыедн bullish, with the 200SMA at 172.14 and the daily 20EMA at 171.59. Hourly RSI is bearish at 49.