GBP/JPY drops to 5-day SMA as President Trump orders ban of Chinese apps


  • GBP/JPY dips as US stock futures turn red on SIno-US tensions. 
  • President Trump signs an executive order to ban Chinese apps. 

GBP/JPY is feeling the pull of gravity with the anti-risk Japanese yen drawing bids on President Trump’s order to ban Chinese apps, a move that could elicit retaliatory responses from Beijing. 

The pair is trading near the ascending 5-day simple moving average support at 138.50, representing a 0.13% decline on the day, having put in a high of 138.75 early Friday. 

President Trump issued an executive order a few minutes ago, banning any US transactions with the Chinese company ByteDance, which owns the video-sharing app TikTok and WeChat app, starting in 45 days. “The US must take aggressive action against the owners of TikTok to protect our national security,” Trump said in one order. 

The US stock futures have responded negatively to the latest developments in the Sino-US tussle, pushing the yen crosses lower. At press time, the futures on the S&P 500 are down 0.40%. Clearly, markets are worried about a flareup in the US-China tussle. 

Additional bearish pressure may be stemming from the political deadlock in Washington over the additional coronavirus stimulus package. 

And while the Bank of England offered a surprisingly upbeat assessment for Britain’s economy on Thursday, analysts and investors are not buying it and expect risks to mount in the near term, according to a report by Bloomberg. 

From a technical analysis perspective,139.00 is the level to beat for the bulls. That’s because the pair has faced rejection above that level multiple times since last Friday. 

Technical levels

GBP/JPY

Overview
Today last price 138.49
Today Daily Change -0.23
Today Daily Change % -0.17
Today daily open 138.72
 
Trends
Daily SMA20 136.29
Daily SMA50 135.33
Daily SMA100 134.03
Daily SMA200 137.51
 
Levels
Previous Daily High 139.24
Previous Daily Low 138.44
Previous Weekly High 139.21
Previous Weekly Low 135.15
Previous Monthly High 139.21
Previous Monthly Low 132.95
Daily Fibonacci 38.2% 138.93
Daily Fibonacci 61.8% 138.74
Daily Pivot Point S1 138.36
Daily Pivot Point S2 138
Daily Pivot Point S3 137.57
Daily Pivot Point R1 139.16
Daily Pivot Point R2 139.59
Daily Pivot Point R3 139.95

 

 

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.

Feed news

Latest Forex News


Latest Forex News

Editors’ Picks

EUR/USD eases below 1.1750 as US election debate wraps up

EUR/USD faces an uptick above 1.1750, even as the US Presidential election debate fails to save the day for the US dollar bulls. The greenback wallows in multi-day lows amid cautious market mood. The spot printed its biggest single-day gain in over a month on Tuesday. 

EUR/USD News

AUD/USD drops towards 0.7100 after China PMIs, US election debate

AUD/USD extends the retreat from 0.7150 towards 0.7100. Markets paid little attention to upbeat Chinese official Manufacturing PMI data. The US dollar is attempting a comeback from weekly lows after the first US Presidential election debate.

AUD/USD News

Gold pullback from $1,900 highlights immediate rising wedge

Gold snaps two-day winning streak following its pullback from $1,899.38. The yellow metal recently dropped after the US presidential debate questioned market sentiment. Bulls need a clear break beyond September 22 for confirmation.

Gold News

USD/JPY: Surrenders gains after rejection above 105.70

USD/JPY has failed to keep gains above 105.70 for the fourth straight day, and the repeated rejection suggests the bounce from the Sept. 21 low of 104.00 has run out of steam. Further, the indicators on the hourly and 4-hour charts are beginning to roll over in favor of the bears.

USD/JPY News

WTI drops to fresh lows near $39.70 ahead of API

Prices of the American benchmark for the sweet light crude oil broke below the $40.00 mark per barrel and slipped back to the $39.70 region on Tuesday.

Oil News

Forex MAJORS

Cryptocurrencies

Signatures