Forex Marketz Daily Forex News – Fully Markets Update
The British pound (GBP) is falling lower against the safe haven Japanese yen (JPY). Looking at the above daily MT 4 chart, the GBP/JPY currency exchange rate is falling from a high price at 136.14 to 136 yen.
The British pound hit its highest price point against the Japanese currency since 11 June on Monday. The GBP/USD has since recovered but remains below the two hundred (200) day moving average.
The economic calendar remains relatively light today. Japan will release their monthly flash manufacturing purchasing managers’ index (PMI). The United Kingdom has no economic data scheduled to be released. The European Union also has a blank calendar.
Yesterday, the Eurozone passed an historic fiscal stimulus deal. This is supporting sentiment linked currencies like the British pound and the euro (EUR).
The United States will release monthly existing home sales data as well as monthly housing price index (HPI) data. The world’s largest economy will also publish weekly crude oil inventory levels. Canada will release their monthly core and headline consumer price index (CPI).
Daily British Pound Japanese yen Technical Analysis
Looking at price action on the above daily MT 4 chart, the first layer of technical support lines up at the one hundred (100) day moving average at 134.85 yen. The next layer of technical support lines up at 134 yen with an upward sloping trend line in pay since 18 May then coming into play at 133.40 yen.
Any sustained closed below that trend line opens the door to challenge the downside barrier at 131.90 yen with 130.65 yen then coming into play. The May low price point then comes into focus at 129.30 yen.
On the flip side, if the GBP/JPY Forex market gains ground, the 200 day moving average in play 136.15 yen is the first upside barrier. The 16 June high price at 136.35 would be the next layer of technical resistance to come into play.
A daily close above this level opens the door to challenge 137 yen with focus then shifting towards 139.75 yen and 140 yen.
