Forex Marketz Daily Forex News – Fully Markets Update
The British pound is trading around 151.60 yen during the Asian trade session on Friday. The headline GBP/JPY currency exchange rate is under some pressure after news that the government in Tokyo was considering extending the coronavirus state of emergency until the end of May.
This was good for the safe haven Japanese yen. However, the two hundred (200) hour simple moving average is restricting the downside in this Forex market. At least for now.
The economic calendar out of the United States is busy today. The U.S. Labor Department will publish their April non-farm payroll report (NFP), monthly unemployment rate and average hourly earnings.
Also of interest from the Labor Department will be the labor participation rate. Japan has no economic data schedule for release as we head into the weekend.
The United Kingdom will publish their monthly construction purchasing managers’ index (PMI). Germany and France are releasing monthly industrial production and trade balance data. Italy is publishing monthly retail sales.
Daily British Pound Technical Analysis (GBP/JPY)
Looking at the daily technical analysis on the above GBP/JPY hourly chart, the relative strength index (RSI) is sloping lower. Coupled with the negative news coming out of Japan, the sensitive linked British pound could challenge the downside support in play at 151.20.
This is the triangle support level. A daily close below 151.20 opens the door for the British pound to challenge the technical support at 151.00 next.
The next layer of technical support lines up at 151.80 with the weekly low price point at 150.88 then coming into play. The key and psychological support level at 150 yen the pops onto the radar.
On the upside, the first layer of technical support lines up at 151.80. The next upside barrier lines up at 152 yen with the April high price point at 152.40 the coming into view.
The next upside barrier lines up at 153 yen with the next layer of resistance at 153.40 yen then coming into play.
