21 Aug 2013
GBP/JPY breaks 153.00 handle
FXstreet.com (Barcelona) - GBP/JPY has broken the 153.00 handle ahead of tonight’s main event.
GBP/JPY has been bid over the course of the late Asia and early European market and has continued to progress steadily higher throughout the day into NA mid morning session. Gareth Berry at UBS FX strategy had said that the US-Japan bond spread continues to widen in favour of USDJPY upside. “We look for more spread widening over the months ahead, as the Fed begins the process of QE3 tapering while the Bank of Japan continues to lean heavily on the JGB curve”.
Sterling supporting bullish GBP/JPY
Meanwhile, GBP/USD has been eyeing the 1.5700 psychological handle from the start of the week, but with the anticipation of the FOMC minutes coming up tonight, markets have been cautious around the outcome and trading has got off to a slow pace this week so far. The pair has remained in a tight range between 1.5630 and 1.5700 and currently the pair is looking to recover from offers 1.5690 area. The calendar is very light this morning and afternoon for the pair, but again, the key focus today will clearly be the minutes from the July 30-31 FOMC as the market looks for signals in timing and scale of the Fed’s plans to taper its current QE policy.
GBP/JPY has a positive bias
GBP/JPY is trading with a positive bias yet again with the 20 DMA at 151.00, the 50 DMA at 150.90 and the 200 DMA is 145.90. RSI (9) prints 56.52. Supports are ascending from 149.80, 150.65, 151.20 and151.70. Spot is currently 153.10 while resistances are 153.60, 154.05, 154.65.
GBP/JPY has been bid over the course of the late Asia and early European market and has continued to progress steadily higher throughout the day into NA mid morning session. Gareth Berry at UBS FX strategy had said that the US-Japan bond spread continues to widen in favour of USDJPY upside. “We look for more spread widening over the months ahead, as the Fed begins the process of QE3 tapering while the Bank of Japan continues to lean heavily on the JGB curve”.
Sterling supporting bullish GBP/JPY
Meanwhile, GBP/USD has been eyeing the 1.5700 psychological handle from the start of the week, but with the anticipation of the FOMC minutes coming up tonight, markets have been cautious around the outcome and trading has got off to a slow pace this week so far. The pair has remained in a tight range between 1.5630 and 1.5700 and currently the pair is looking to recover from offers 1.5690 area. The calendar is very light this morning and afternoon for the pair, but again, the key focus today will clearly be the minutes from the July 30-31 FOMC as the market looks for signals in timing and scale of the Fed’s plans to taper its current QE policy.
GBP/JPY has a positive bias
GBP/JPY is trading with a positive bias yet again with the 20 DMA at 151.00, the 50 DMA at 150.90 and the 200 DMA is 145.90. RSI (9) prints 56.52. Supports are ascending from 149.80, 150.65, 151.20 and151.70. Spot is currently 153.10 while resistances are 153.60, 154.05, 154.65.