1 Aug 2013
GBP/JPY continues ascent as BoE holds policy
FXstreet.com (Barcelona) - Having found overnight support around 148.50, GBP/JPY has climbed through the European session and posted a high following BoE rate and asset purchase decisions.
Trading just above the key 150.00 level during the countdown to today´s BoE event, the pair responded positively to the bullish sentiment in the market after the overnight climb in Chinese PMI, the generally better than expected European PMIs, and UK PMI which came in at 54.6, straddling expectations of 52.8. The BoE´s decision to hold rates and purchases saw spot push close to 50 pips higher in the immediate aftermath and post a high at 150.50.
GBP/JPY Technically Bearish
Technically, GBP/JPY looks slightly bullish according to the FXstreet.com Trend Index. Classic daily pivot points show support below at R2 at 150.14 and R1 at 149.49 above the daily pivot at 148.88. Above spot sees next resistance ahead at R3 at 150.75. Hourly oscillators are in overbought territory, with RSI at 75, and Stochastics at 89.
Trading just above the key 150.00 level during the countdown to today´s BoE event, the pair responded positively to the bullish sentiment in the market after the overnight climb in Chinese PMI, the generally better than expected European PMIs, and UK PMI which came in at 54.6, straddling expectations of 52.8. The BoE´s decision to hold rates and purchases saw spot push close to 50 pips higher in the immediate aftermath and post a high at 150.50.
GBP/JPY Technically Bearish
Technically, GBP/JPY looks slightly bullish according to the FXstreet.com Trend Index. Classic daily pivot points show support below at R2 at 150.14 and R1 at 149.49 above the daily pivot at 148.88. Above spot sees next resistance ahead at R3 at 150.75. Hourly oscillators are in overbought territory, with RSI at 75, and Stochastics at 89.