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4 Mar 2014
GBP/JPY tries to settle above 169.00
FXStreet (Moscow) - GBP/JPY is reluctantly drifting higher in Asia after a sharp drop late on Monday, as the cross opened at 168.95 and moved to the current intraday high at 169.25. Now GBP/JPY is trading above 169.00 at 169.12
GBP/JPY has been wounded by stray Russian-Ukrainian bullet
GBP/JPY consolidated quietly on Monday, but experienced a sharp drop late in the New York session due to escalation of Russian-Ukrainian conflict to the international level. The cross dropped below the support of 169.00, and finished the day marginally below that level. It seems that geopolitics is now the main driving force behind everything, but let us not forget that economics is still here. Markets do not react to the reports, but they give us pieces of information that may be valuable in future. Namely, the UK publishes its Construction sector PMI today. It is expected to decrease to 63.6 in February after a sharp rise to 64.6 in January. Numbers in line with expectations or better will confirm that the British economy is steadily recovering, cementing the case for BOE rate hike sooner rather than later. The key levels to watch: 169.00 followed by 168.43 on the downside and 169.64 on the upside.
What are today’s key GBP/JPY levels?
Today's central pivot point can be found at 169.29, with support below at 168.43, 167.96, and 167.10, with resistance above at 169.76, 170.62 and 171.09. Hourly Moving Averages are mostly bearish, with the 200SMA at 170.32 and the daily 20EMA at 169.87. Hourly RSI is neutral at 44.
GBP/JPY has been wounded by stray Russian-Ukrainian bullet
GBP/JPY consolidated quietly on Monday, but experienced a sharp drop late in the New York session due to escalation of Russian-Ukrainian conflict to the international level. The cross dropped below the support of 169.00, and finished the day marginally below that level. It seems that geopolitics is now the main driving force behind everything, but let us not forget that economics is still here. Markets do not react to the reports, but they give us pieces of information that may be valuable in future. Namely, the UK publishes its Construction sector PMI today. It is expected to decrease to 63.6 in February after a sharp rise to 64.6 in January. Numbers in line with expectations or better will confirm that the British economy is steadily recovering, cementing the case for BOE rate hike sooner rather than later. The key levels to watch: 169.00 followed by 168.43 on the downside and 169.64 on the upside.
What are today’s key GBP/JPY levels?
Today's central pivot point can be found at 169.29, with support below at 168.43, 167.96, and 167.10, with resistance above at 169.76, 170.62 and 171.09. Hourly Moving Averages are mostly bearish, with the 200SMA at 170.32 and the daily 20EMA at 169.87. Hourly RSI is neutral at 44.