GBP/JPY gains traction in late American session, reclaims 149.00


  • GBP/JPY looks to post modest daily gains on Tuesday.
  • Improving market mood seems to be weighing on JPY.
  • Jibun Bank Services PMI will be featured in Japanese economic docket.

The GBP/JPY closed the first day of the week virtually unchanged and stayed relatively quiet during the Asian trading hours on Tuesday. With the market improving modestly, however, the pair gained traction and rose to a daily high of 149.20 during the American session. As of writing, GBP/JPY was up 0.38% on the day at 149.15.

Risk flows help GBP gather strength

Reflecting the positive shift in sentiment, the UK's FTSE 100 Index gained 0.38% on Tuesday. Although Wall Street's main indexes trade little changed, the broad-based USD weakness is helping the GBP/USD pair edge higher and allowing the British pound outperform the JPY as well.

Earlier in the day, the latest Citi/YouGov inflation survey showed that the average expectations for inflation over the next 12 months in the UK edged lower to 2.9% from 3.3% but this report was largely ignored by market participants.

On Wednesday, the Jibun Bank Services PMI for February will be released from Japan ahead of the IHS Markit's Services PMI from the UK. Additionally, British finance minister Rishi Sunak will deliver the budget statement. Nevertheless, the market reaction to these events is likely to remain muted and the risk perception could continue to drive GBP/JPY's movements.

Technical levels to watch for

GBP/JPY

Overview
Today last price 149.16
Today Daily Change 0.52
Today Daily Change % 0.35
Today daily open 148.64
 
Trends
Daily SMA20 146.38
Daily SMA50 143.27
Daily SMA100 140.6
Daily SMA200 138.5
 
Levels
Previous Daily High 149.3
Previous Daily Low 148.34
Previous Weekly High 150.45
Previous Weekly Low 147.41
Previous Monthly High 150.45
Previous Monthly Low 142.84
Daily Fibonacci 38.2% 148.94
Daily Fibonacci 61.8% 148.71
Daily Pivot Point S1 148.22
Daily Pivot Point S2 147.8
Daily Pivot Point S3 147.25
Daily Pivot Point R1 149.18
Daily Pivot Point R2 149.72
Daily Pivot Point R3 150.14

 

 

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

Get Weekly Crypto trade ideas!  
Empower yourself with the best market insights

Join FXStreet Premium!    

Latest Forex News


Latest Forex News

Editors’ Picks

EUR/USD on the back foot above 1.1950 amid tepid mood

EUR/USD trades on the back foot above 1.1950, consolidating the corrective pullback. Fears of delay in economic recovery magnified on downbeat vaccine updates, Geopolitical tensions also weigh on sentiment. US Michigan Consumer Sentiment Index in focus.

EUR/USD News

GBP/USD slips below 1.3750 amid USD bounce, Brexit concerns

GBP/USD remains pressured towards 1.3700, as the US dollar bounces amid a downbeat market mood. Covid vaccine concerns and unresolved Brexit border issues continue to undermine the pound. US Consumer Sentiment data awaited. 

GBP/USD News

Ripple bulls plan comeback with 30% rally

XRP price could surge 30% after a bounce from an ascending parallel channel’s lower trend line. Resetting social sentiment and funding rates provide a tailwind to the bullish thesis. A bearish scenario could come into play if sellers slice through the channel’s lower boundary at $1.70.

Read more

XAU/USD faces stiff resistance near $1,775, upside potential remains intact

Gold has been trending higher after taking support near the double bottom formation on the daily chart. However, XAU/USD now faces stiff resistance near the $1,775 hurdle. MACD indicator tilts in favor of bulls.

Gold News

The pause that refreshes: Are currency markets hesitant to run with US data?

Recent American economic results have been exceptional. Payrolls, Retail Sales, and even Initial Jobless Claims, show recovery in full swing.  But the dollar topped out against the euro and the yen two weeks ago even as US data has blossomed.

Read more

Forex MAJORS

Cryptocurrencies

Signatures