22 Jul 2013
GBP/JPY testing the downside
FXstreet.com (London) - GBP/JPY has been failing at 153.40/60 resistances overnight and earlier on in today’s session.
The pair has been relatively muted post the ruling LDP-New Komeito victory yesterday.
USD/JPY’s reaction has also been somewhat muted, but dips had been looking to be buying opportunities across both pairs. Currently, USD/JPY is faltering and printing European lows shy of the 100.00 handle at 99.90 and bringing GBP/JPY lower as well. “The government is now in control of both parliamentary chambers, and so the stage is set for fresh fiscal initiatives combined with the introduction of longer-term growth-enhancing structural reforms” – source, UBS FX Strategy, Gareth Berry.
GBP/JPY broadly bid
GBP/JPY has regained territory with a closing weekly stick above 153.00 and within the rising bull channel. A target for the pair in continuation of the up trend would be to gain the 154.25 and extend moves towards 156.75 and closing on the weekly chart. To the downside 151.20 acts as key support.
The pair has been relatively muted post the ruling LDP-New Komeito victory yesterday.
USD/JPY’s reaction has also been somewhat muted, but dips had been looking to be buying opportunities across both pairs. Currently, USD/JPY is faltering and printing European lows shy of the 100.00 handle at 99.90 and bringing GBP/JPY lower as well. “The government is now in control of both parliamentary chambers, and so the stage is set for fresh fiscal initiatives combined with the introduction of longer-term growth-enhancing structural reforms” – source, UBS FX Strategy, Gareth Berry.
GBP/JPY broadly bid
GBP/JPY has regained territory with a closing weekly stick above 153.00 and within the rising bull channel. A target for the pair in continuation of the up trend would be to gain the 154.25 and extend moves towards 156.75 and closing on the weekly chart. To the downside 151.20 acts as key support.