5 Feb 2014
GBP/JPY losing steam and drops 166 handle
FXStreet (Guatemala) - GBP/JPY is down on the day and lost the 166 handle while markets are awaiting the BoE.
Strategists at Bank of America Merrill Lynch explained that the BoE is expected to leave rates unchanged. "The BoE is universally expected to leave interest rates and QE on hold at 0.5% and £375bn, respectively, at its meeting this week. Greater focus will be on whether it issues a statement alongside its decision, given that, with the unemployment rate only 0.1ppt above their 7% Forward Guidance threshold, the BoE is likely to set out further guidance in its Inflation Report on the 12th."
GBP/JPY Levels
The 20 DMA is 170.50, the 50 DMA is 170.00 and the 200 DMA is 158.35. RSI (14) reads 61.90. Supports are 163.70, 164.05, 164.20, 164.65, 165.25. Spot is 165.67 currently and resistances are 166.20, 166.90, 167.70 and 168.20.
Strategists at Bank of America Merrill Lynch explained that the BoE is expected to leave rates unchanged. "The BoE is universally expected to leave interest rates and QE on hold at 0.5% and £375bn, respectively, at its meeting this week. Greater focus will be on whether it issues a statement alongside its decision, given that, with the unemployment rate only 0.1ppt above their 7% Forward Guidance threshold, the BoE is likely to set out further guidance in its Inflation Report on the 12th."
GBP/JPY Levels
The 20 DMA is 170.50, the 50 DMA is 170.00 and the 200 DMA is 158.35. RSI (14) reads 61.90. Supports are 163.70, 164.05, 164.20, 164.65, 165.25. Spot is 165.67 currently and resistances are 166.20, 166.90, 167.70 and 168.20.