9 Dec 2014
GBP/JPY under pressure ahead of the UK Industrial production data
FXStreet (Mumbai) - The British Pound is trading weak against the Japanese Yen ahead of the official data in the UK, which is likely to show industrial activity expanded at a faster pace in October.
The GBP/JPY currently trades 0.62% lower at 187.80 levels, compared to the previous session’s close of 188.93 levels. Moreover, the Yen is gaining strength across the board as the risk aversion in the Asian and the European equities is leading to unwinding of “risk-on” trades initiated post Bank of Japan’s surprise expansion of monetary stimulus on Oct 31st.
However, the pair may recover losses if the Industrial Production data in the UK prints higher than the expected gain of 1.8% year-on-year in October.
GBP/JPY Technical Levels
The pair has an immediate support located at 187.09 (10-DMA), under which losses could be extended to 185.81 (5-Week SMA). Meanwhile, resistance is seen at 188.26 (5-DMA) and 189.22 levels.
The GBP/JPY currently trades 0.62% lower at 187.80 levels, compared to the previous session’s close of 188.93 levels. Moreover, the Yen is gaining strength across the board as the risk aversion in the Asian and the European equities is leading to unwinding of “risk-on” trades initiated post Bank of Japan’s surprise expansion of monetary stimulus on Oct 31st.
However, the pair may recover losses if the Industrial Production data in the UK prints higher than the expected gain of 1.8% year-on-year in October.
GBP/JPY Technical Levels
The pair has an immediate support located at 187.09 (10-DMA), under which losses could be extended to 185.81 (5-Week SMA). Meanwhile, resistance is seen at 188.26 (5-DMA) and 189.22 levels.