GBPJPY Looks Set For More Gains with JPN Consumer Confidence
Aayush Jindal
Key Highlights
British pound traded higher against the Japanese yen recently and looks set for more gains in the near term.
Japanese Consumer Confidence was released by the Cabinet Office earlier today which came in at 39.1 up from the last reading of 38.8 in January 2015.
Japanese Eco Watchers Survey was also released which came in at 50.0, up by more than 3 points from the last reading of 46.7.
Japanese Consumer ConfidenceLater today, the Japanese Consumer Confidence was released by the Cabinet Office. The outcome was a bit on the higher side, as the consumer confidence came in at 39.1, climbing from 38.8 in January 2015. The outcome helped the Japanese yen to some extent, but buyers were not seen aggressive after the release.Moreover, the Japanese Eco Watchers Survey current and outlook were also released. These two were also on the higher side. The Eco Watchers Survey – Outlook came in at 50.0, up from 46.7, and the Eco Watchers Survey – Current rose from 45.2 to 45.6. Overall, the outcome was on the positive side, but failed to lift the Japanese yen post certain extent.Technical AnalysisThere was a bearish trend line formed on the 4 hour chart of the GBPJPY pair, which was breached recently by buyers. This particular break paved the way for more upsides in the near term. The GBPJPY pair traded as high as 181.79 where sellers managed to protect the upside. The pair is currently correcting lower and might find support around the broken trend line. The best part is that the pair is above the 200 4-hour simple moving average, which might also act as a barrier for the pair. A break below the same might call for more losses towards the 23.6% fib retracement level of the last leg from the 175.48 low to 181.79 high.On the upside, initial resistance is around the last high of 181.79 level. A break above the same might call for more upsides in the near term. The next level of interest can be seen around the 182.00 level, which is a major swing area.Japanese Tertiary Industry IndexLater during the next Asian session, the Japanese Tertiary Industry Index will be released by the Ministry of Economy, Trade and Industry. The forecast is slated for a 0.1% rise in December 2014, compared with the last increase of 0.2%. Any miss in the outcome might put pressure on the Japanese yen.
On the upside, initial resistance is around the last high of 181.79 level. A break above the same might call for more upsides in the near term. The next level of interest can be seen around the 182.00 level, which is a major swing area.Japanese Tertiary Industry IndexLater during the next Asian session, the Japanese Tertiary Industry Index will be released by the Ministry of Economy, Trade and Industry. The forecast is slated for a 0.1% rise in December 2014, compared with the last increase of 0.2%. Any miss in the outcome might put pressure on the Japanese yen.
On the upside, initial resistance is around the last high of 181.79 level. A break above the same might call for more upsides in the near term. The next level of interest can be seen around the 182.00 level, which is a major swing area.Japanese Tertiary Industry IndexLater during the next Asian session, the Japanese Tertiary Industry Index will be released by the Ministry of Economy, Trade and Industry. The forecast is slated for a 0.1% rise in December 2014, compared with the last increase of 0.2%. Any miss in the outcome might put pressure on the Japanese yen.