GBP/JPY enters overbought territory

FXStreet (Guatemala) - Currently, GBP/JPY is trading at 171.25, up 0.44% on the day, having posted a daily high at 171.33 and low at 170.44.

Sterling is having a ball currently and testing levels to the upside while out performing across the board. There is a good deal of positive sentiment around the UK economy currently. Jonathan Pryor, Corporate Treasury Analyst at Investec pointed out that NIESR, an independent think tank, recently published its estimate that the UK economy expanded 0.9% in Q1 2014. “The economy grew by 0.7% in Q4 2013 and the first official estimate of Q1 growth will be eagerly anticipated on the April 29th. In addition the IMF raised its forecasts for UK economic growth for the second time this year from 2.4% to 2.9%, predicting the UK will have the fastest expansion among G7 nations."

Hourly RSI enters over bought territory

Currently RSI is at 71.51, up from the last hourly print at 62.27, with ADX at 26.32, up from its previous close at 22.49. Daily RSI sits at 49.69, in neutral territory. Looking to momentum indicators, the hourly 200 SMA is currently at 170.90, down from the last close at 171.68 and declining. Over the past 20 days, the exponential average closing price is 170.71, and ranging.

GBP/JPY Levels

Current price is 171.26, with resistance ahead at 171.33 (Daily High), 171.34 (Hourly 100 SMA), 171.40 (Daily Classic R1), 171.57 (Yesterday's High) and 171.68 (Hourly 200 SMA). Next support to the downside can be found at 170.83 (Hourly 20 EMA), 170.71 (Daily 20 SMA), 170.68 (Daily Classic PP), 170.51 (Weekly Low) and 170.50 (Daily Open).

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