18 Aug 2015
GBP/JPY: falling back in line with August channel
FXStreet (Guatemala) - GBP/JPY is currently trading at 194.66 with a high of 195.28 and a low of 193.53.
GBP/JPY shot up on the back of the performances in the pound across the board and has penetrated the 195 handle. Supply came in at this level and the cross has started to retreat targeting the mid point of the handle, forced back into the sideways channel that commenced at the end of the rally from 192.00 up to 195.00 in the first week of the month. RSI (14) is at 50 in neutral while MA's are offering a bearish bias above the pivot at 194. 69.
The data today came from the UK CPI that rose to -0.2% vs -0.3 expected M/M while Y/Y fell in at 0.1% vs 0.0% expected. The BoE will act on the CPI's in due course should they continue to recover towards the 2% target and over the weekend, Forbes was suggesting that the old lady will act before the target is reached.
GBP/JPY shot up on the back of the performances in the pound across the board and has penetrated the 195 handle. Supply came in at this level and the cross has started to retreat targeting the mid point of the handle, forced back into the sideways channel that commenced at the end of the rally from 192.00 up to 195.00 in the first week of the month. RSI (14) is at 50 in neutral while MA's are offering a bearish bias above the pivot at 194. 69.
The data today came from the UK CPI that rose to -0.2% vs -0.3 expected M/M while Y/Y fell in at 0.1% vs 0.0% expected. The BoE will act on the CPI's in due course should they continue to recover towards the 2% target and over the weekend, Forbes was suggesting that the old lady will act before the target is reached.