16 Jul 2013
GBP/JPY dropping like a stone
FXstreet.com (London) - GBP/JPY is dropping like a stone after UK data releases.
There were a number of second tier releases but key was CPI. Core y/y (Jun) was in line while non-core was 2.9% vrs 3.0% consensus and 2.7% previous. We will wait for US CPI this afternoon to see action in USD/JPY affecting the cross. Meanwhile, GBP/USD is a great deal lower, around 100 pips from the London Open supported at 1.5046/55. The cross, GBP/JPY has tracked cable from above 151.00 and to fall to 149.79 the low and intra day support zone.
GBP/JPY moving out of bull channel
GBP/JPY has been testing the bullish channel’s downside of late and continues to do so this week. 150.79 marks the entry point back into the bullish zone, while moves below here will mirror those of earlier in the month, targeting 147.50 area and April levels. Support 149.70, 149.45, 148.80, 148.30. Resistance is evident at 151.25, 152.20.
There were a number of second tier releases but key was CPI. Core y/y (Jun) was in line while non-core was 2.9% vrs 3.0% consensus and 2.7% previous. We will wait for US CPI this afternoon to see action in USD/JPY affecting the cross. Meanwhile, GBP/USD is a great deal lower, around 100 pips from the London Open supported at 1.5046/55. The cross, GBP/JPY has tracked cable from above 151.00 and to fall to 149.79 the low and intra day support zone.
GBP/JPY moving out of bull channel
GBP/JPY has been testing the bullish channel’s downside of late and continues to do so this week. 150.79 marks the entry point back into the bullish zone, while moves below here will mirror those of earlier in the month, targeting 147.50 area and April levels. Support 149.70, 149.45, 148.80, 148.30. Resistance is evident at 151.25, 152.20.