2 Feb 2015
GBP/JPY flirts with 200-DMA after UK PMI data
FXStreet (Mumbai) - The GBP/JPY rose back to its 200-DMA located at 177.35 after the release of an upbeat UK PMI manufacturing data.
Gains capped at 200-DMA
The pair is stuck around the 200-DMA located at 177.35 after having hit a high of 177.53 post the data release. The UK PMI manufacturing rose to 53.0 in January from the December’s 52.5. Despite the positive data, the UK 10-year Gilt yield eased to 1.347% from the high of 1.364% seen earlier today. The weakness in the yield is capping gains in the British Pound.
Meanwhile, limited risk appetite in markets, coupled with fall in the US Treasury yields is supporting the Japanese Yen.
GBP/JPY Technical Levels
The immediate resistance is seen at 177.35 (200-DMA), above which gains could be extended to 177.57 (hourly 200-SMA). On the flip side, the support is seen at 176.78 and 176.50 levels.
Gains capped at 200-DMA
The pair is stuck around the 200-DMA located at 177.35 after having hit a high of 177.53 post the data release. The UK PMI manufacturing rose to 53.0 in January from the December’s 52.5. Despite the positive data, the UK 10-year Gilt yield eased to 1.347% from the high of 1.364% seen earlier today. The weakness in the yield is capping gains in the British Pound.
Meanwhile, limited risk appetite in markets, coupled with fall in the US Treasury yields is supporting the Japanese Yen.
GBP/JPY Technical Levels
The immediate resistance is seen at 177.35 (200-DMA), above which gains could be extended to 177.57 (hourly 200-SMA). On the flip side, the support is seen at 176.78 and 176.50 levels.