GBP/JPY jumps to fresh 8-day highs just ahead of 140.00

The cross in GBP/JPY is seen extending the previous rebound and hovers near more-than one-week tops around 140 handle.

GBP/JPY: Focus shifts to the UK data

The GBP/JPY pair now advances +0.34% to 140.03, testing multi-day highs reached at 140.10 last hour, where 50-DMA intersects. The cross remains strongly bid this session, as cable regains upward momentum amid stalled USD recovery, after the buck was hit by Trump’s comments, citing that he is  looking for ways to 'punish' currency manipulators, while investors gear up for the Brexit fallout.

Moreover, renewed weakness in the Japanese yen on the back of a slew of mixed economic releases out of Japan, also adds to the buoyant tone seen behind GBP/JPY. Japan’s household spending and Tokyo CPI data disappointed, while the unemployment rate and industrial figures bettered expectations.

Attention now turns towards the UK macro updates due later in the session ahead, with the current account and final GDP data closely eyed ahead of the US dataflow and Fedspeaks.

GBP/JPY: Technical Levels                                                                               

Higher side: 140.46/50 (Mar 21 high/ psychological levels), 140.92 (classic R2/ Fib R3), 141.72/80 (100-DMA/ Feb 24 high)

Lower side: 139/138.99 (round number/ Mar 9 low), 138.50/38 (psychological levels/ Mar 8 low), 138 (zero figure)