26 Sep 2013
GBP/JPY propelled to 159.27 highs
FXstreet.com (Chicago) - GBP/JPY was fueled by the market participants reactions to the Japanese pension fund re-balancing. Reaching the 159 zone momentarily, the pair failed to sustain impulsive reaction and retraces to the 158.90 zone.
High volatility expected for the pair?
After Japan announced the re-balancing of the public pension plan, the largest in the world, market participants rushed to sell the yen. The UK will release GDP data at 8:30 GMT along current account results and total business investments.
GBP/JPY Technical Levels
Price action reveals the extension of the upward trendline originating last August 8th. The pair continues printing higher lows and highs ahead of the UK’s GDP decision. At 4-year highs, the pair is offered at 158.95 and oscillates between supports aligned at 158.51 (September 11th highs), 157.97 (September 13th highs) followed by 157.47 (September 17th lows) and the resistances set at 159.50 (September 19th highs), 160 (September 18th highs) ahead of 161.46 (May 31st 2009 highs). According to the FXstreet.com trend index, the pair is slightly bearish on one-hour timeframe analysis and is offered above the EMA20.
High volatility expected for the pair?
After Japan announced the re-balancing of the public pension plan, the largest in the world, market participants rushed to sell the yen. The UK will release GDP data at 8:30 GMT along current account results and total business investments.
GBP/JPY Technical Levels
Price action reveals the extension of the upward trendline originating last August 8th. The pair continues printing higher lows and highs ahead of the UK’s GDP decision. At 4-year highs, the pair is offered at 158.95 and oscillates between supports aligned at 158.51 (September 11th highs), 157.97 (September 13th highs) followed by 157.47 (September 17th lows) and the resistances set at 159.50 (September 19th highs), 160 (September 18th highs) ahead of 161.46 (May 31st 2009 highs). According to the FXstreet.com trend index, the pair is slightly bearish on one-hour timeframe analysis and is offered above the EMA20.