(function() { var didInit = false; function initMunchkin() { if(didInit === false) { didInit = true; Munchkin.init('105-GAR-921'); } } var s = document.createElement('script'); s.type = 'text/javascript'; s.defer = true; s.src = '//munchkin.marketo.net/munchkin.js'; s.onreadystatechange = function() { if (this.readyState == 'complete' || this.readyState == 'loaded') { initMunchkin(); } }; s.onload = initMunchkin; document.getElementsByTagName('head')[0].appendChild(s); })();

GBPJPY – Pound Continues To Face Resistance Near 144.80 Vs Yen

Article background

Aayush Jindal

Key Highlights

  • The British pound recently traded towards a major resistance area near 144.80-155.00 where it found sellers.
  • The GBPJPY pair moved down, and broke a bullish trend line with support at 142.80 on the 4-hours chart.
  • Today in the UK, the GfK Group Consumer Confidence was released, which posted a rise from -7 to -5 in Jan 2017.
  • The Japanese Industrial Production released by the Ministry of Economy, Trade and Industry posted a rise of 0.5% in Dec 2016 (preliminary), compared with the previous month.

GBPJPY Technical Analysis

The British Pound struggled recently near 114.80-115.00 after a solid bullish trend against the Japanese yen. The GBPJPY pair moved down, but managed to find support near the 142.00 area.GBPJPY Technical Analysis British Pound YenThe pair has moved below the 143.00 support area, and currently finding support just above the 200 simple moving average (H4 chart). There was a break below a bullish trend line with support at 142.80 on the same chart, which ignited a downside wave.So, the pair may find buyers near 142.00 if it continues to move down. Below it, the 38.2% Fib retracement level of the last wave from the 136.45 low to 144.72 high might act as a support zone along with the 200 SMA.

GfK Group Consumer Confidence

Today in the UK, the GfK Group Consumer Confidence, which is a leading index and evaluates the level of consumer confidence in economic activity was published. The market was positioned for a decline from -7 to -8 in Jan 2017.However, the result was better, as there was an increase from the last reading of -7 to -5 in Jan 2017. However, it looks like it failed to impress the GBP buyers, and the GBPJPY pair remained below 142.50.

Japanese Industrial Production

In Japan today, the Industrial Production, which measures outputs of the Japanese factories and mines was released by the Ministry of Economy, Trade and Industry. The market was positioned for a 0.3% rise in Dec 2016 (preliminary), compared with the previous month.However, the result was positive, as there was a rise of 0.5%. In terms of the yearly change, the production rose 3%, which was a bit less than the last +4.6%.
Great
Trustpilot
Open an AccountOpen Share Account24/7 Support
Loading