GBP/JPY treks higher to target 153.00 zone

FXstreet.com (Chicago) - GBP/JPY reversed earlier plunge at the opening of Tokyo’s session. The Nikkei started strong above 1% gains and handles to maintain 0.92% advancements so far.

Chinese rising manufacturing results published earlier today seemed to uplift Asian stocks. Later in the day, the UK is expecting the BRC retail sales monitor data for the month of August while in Japan the Minister of the Economy, Akira Amari, stated that "there are more experts who say Japan should follow the sales tax hike plan than those who say we shouldn't”. The implications of such statement are an imminent tax hike for sales with more BoJ easing which is perceived as negative for the yen. Also, reports indicate Fukushima’s nuclear plant has radiations 18 times stronger than previously indicated.

GBP/JPY Technical Levels - Losses erased

Price action reveals runaway gap at the opening of Monday’s session in Asia. The pair fell from 152.80 levels strenuously to hit 152.37 session lows and eventually evolve into a V-shaped reversal now targeting 153.00 zone. Trading at 152.88, the pair navigates between supports at 152.66 (August 29th highs), 152.43 (August 19th highs) ahead of 152.17 (August 21st lows) and resistances at 152.93 (August 20th highs), 153.24 (August 26th lows) followed by 153.72 (August 26th highs). According to the FXstreet.com trend index, the pair is slightly bullish on one-hour timeframe analysis.

USD/JPY tracking Nikkei's 1% rally, breaks key 98.50

The USD/JPY, bolstered by the fundamentally erratic correlation with a the Nikkei index - up almost 1% -, has found plenty of buyers affiliating to the idea of bullish break above 98.50, which now set the stage for a recovery towards 98.70 peak, effectively wiping out all the losses from the Syria-induced slide.
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