Forex Marketz Daily Forex News – Fully Markets Update
The British pound is on the back foot against the safe haven Japanese yen. The benchmark GBP/JPY currency exchange rate has lost ground for three days in a row.
During the early Asian trade session on Tuesday is trading around the fifty (50) day simple moving average and in a narrow band around 152.50 yen. Volume is low as traders wait on economic data which will include monthly initial flash purchasing managers’ indices (PMI).
Overnight into Wednesday, Japan will release preliminary monthly industrial production data, monthly consumer confidence and housing market data. On Tuesday, United Kingdom will publish the private monthly Nationwide housing price index. The UK is also releasing monthly mortgage approvals and monthly net lending to individuals.
Spain will publish their monthly flash consumer price index (CPI). The United States will see the Conference Board’s (CB) monthly consumer confidence index released. The world’s largest economy is also publishing monthly housing price index (HPI) data.
Daily British Pound Technical Analysis (GBP/JPY)
Looking at the above daily GBP/JPY MT 4 price action chart, the 14 day MACD histogram is looking bearish. The British pound has also declined from a month log resistance line. This could bring more losses for this currency exchange rate.
With that said, a daily close below 153.50 yen, will open the door to challenge the next layer of technical support lining up where the 100 daily simple moving average and rising trend line meet. This downside barrier lines up near 151.70 yen. The next downside barrier is in play at 151.60 yen.
On the upside, the GBP/JPY Forex market has initial technical resistance in play at 154 yen. The next upside barrier lines up at a descending trend line in play since late May.
This barrier lines up near 155 yen. The next layer of technical resistance comes into play at 156.05. There is a congestion zone in play near the weekly high price points at 155.15 to 155.20.
