GBP/JPY slides to multi-month lows near 141 as risk aversion returns


  • Disappointing data from China weigh on global market sentiment.
  • European stocks post modest losses on Wednesday.
  • Brexit Secretary Barclay says Brexit vote will take place in early June.

After closing the previous day virtually unchanged near 141.50, the GBP/JPY pair came under a renewed selling pressure on Wednesday and slumped to its lowest level since late January at140.96. As of writing, the pair was down 0.16% on a daily basis at 141.19.

Earlier today,  retail sales and industrial production data from China both came worse than market expectations and revived concerns over the negative impact of the Chinese economy losing growth momentum on the global outlook to trigger a new wave of flight-to-safety.

Reflecting the sour mood, major European equity indexes in Europe started the day in the negative territory and struggled to make a meaningful recovery. As of writing, Germany's DAX and the Euro Stoxx 50 were both losing more than 0.5% on the day.

On Brexit-related headlines, British Brexit Secretary Barclay announced that they were planning to have the Brexit vote in parliament in the first week of June. When asked if this is the last chance to pass the withdrawal bill, "If commons rejects it then the Barnier deal is dead," Barclay stated. Meanwhile, earlier in the day, Conservatives Party Lawmaker Paterson that the Eurosceptic in his party will vote against the government’s Brexit deal. 

Technical levels to watch for

GBP/JPY

Overview
Today last price 141.22
Today Daily Change -0.25
Today Daily Change % -0.18
Today daily open 141.47
 
Trends
Daily SMA20 144.39
Daily SMA50 145.42
Daily SMA100 143.84
Daily SMA200 144.43
Levels
Previous Daily High 142.18
Previous Daily Low 141.37
Previous Weekly High 145.97
Previous Weekly Low 142.23
Previous Monthly High 147.2
Previous Monthly Low 143.76
Daily Fibonacci 38.2% 141.68
Daily Fibonacci 61.8% 141.87
Daily Pivot Point S1 141.17
Daily Pivot Point S2 140.86
Daily Pivot Point S3 140.35
Daily Pivot Point R1 141.98
Daily Pivot Point R2 142.49
Daily Pivot Point R3 142.79

 

 

Share: Feed news

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. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Recommended content


Recommended content

Editors’ Picks

EUR/USD holds below 1.0750 ahead of key US data

EUR/USD holds below 1.0750 ahead of key US data

EUR/USD trades in a tight range below 1.0750 in the European session on Friday. The US Dollar struggles to gather strength ahead of key PCE Price Index data, the Fed's preferred gauge of inflation, and helps the pair hold its ground. 

EUR/USD News

USD/JPY stays firm above 156.00 after BoJ Governor Ueda's comments

USD/JPY stays firm above 156.00 after BoJ Governor Ueda's comments

USD/JPY stays firm above 156.00 after surging above this level on the Bank of Japan's decision to leave the policy settings unchanged. BoJ Governor said weak Yen was not impacting prices but added that they will watch FX developments closely.

USD/JPY News

Gold price oscillates in a range as the focus remains glued to the US PCE Price Index

Gold price oscillates in a range as the focus remains glued to the US PCE Price Index

Gold price struggles to attract any meaningful buyers amid the emergence of fresh USD buying. Bets that the Fed will keep rates higher for longer amid sticky inflation help revive the USD demand.

Gold News

Bitcoin Weekly Forecast: BTC’s next breakout could propel it to $80,000 Premium

Bitcoin Weekly Forecast: BTC’s next breakout could propel it to $80,000

Bitcoin’s recent price consolidation could be nearing its end as technical indicators and on-chain metrics suggest a potential upward breakout. However, this move would not be straightforward and could punish impatient investors. 

Read more

US core PCE inflation set to signal firm price pressures as markets delay Federal Reserve rate cut bets

US core PCE inflation set to signal firm price pressures as markets delay Federal Reserve rate cut bets

The core PCE Price Index, which excludes volatile food and energy prices, is seen as the more influential measure of inflation in terms of Fed positioning. The index is forecast to rise 0.3% on a monthly basis in March, matching February’s increase. 

Read more

Forex MAJORS

Cryptocurrencies

Signatures