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21 Feb 2014
GBP/JPY awaits BoJ minutes
FXStreet (Guatemala) - The BoJ is about to release the minutes from its monetary policy meeting on January 21 and 22. The board decided to keep its monetary easing plan the same and retained its inflation forecasts for the next two years.
GBP/JPY has been a 300 pip play between 171.20 169.22 over the last few sessions and today the cross has rallied from 169.40 to 170.80.From the calendar, currency strategy team at Brown Brothers Harriman explained that Japan’s January trade deficit reached a record JPY2.8 trln yen, higher than expected. “So far, it seems as if the recovery in global growth and weak yen have not boosted Japan’s exports volume, which dropped 0.2% y/y in January”. For the UK, they explained, “UK CBI report was on the firmer side. This comes after recent softer than expected data from the UK over the past couple of weeks, which had dented BOE tightening expectations. Today, rates on short sterling contracts for late 2014/early 2015 have ticked up modestly”.
GBP/JPY Levels
The 20 DMA is 168.85, the 50 DMA is 170.25 and the 200 DMA is 159.30. Supports are ascending from 168.30, 168.80, 169.15 and 169.60. Spot is 170.47 while resistances are 171.95, 172.05 and 172.30.
GBP/JPY has been a 300 pip play between 171.20 169.22 over the last few sessions and today the cross has rallied from 169.40 to 170.80.From the calendar, currency strategy team at Brown Brothers Harriman explained that Japan’s January trade deficit reached a record JPY2.8 trln yen, higher than expected. “So far, it seems as if the recovery in global growth and weak yen have not boosted Japan’s exports volume, which dropped 0.2% y/y in January”. For the UK, they explained, “UK CBI report was on the firmer side. This comes after recent softer than expected data from the UK over the past couple of weeks, which had dented BOE tightening expectations. Today, rates on short sterling contracts for late 2014/early 2015 have ticked up modestly”.
GBP/JPY Levels
The 20 DMA is 168.85, the 50 DMA is 170.25 and the 200 DMA is 159.30. Supports are ascending from 168.30, 168.80, 169.15 and 169.60. Spot is 170.47 while resistances are 171.95, 172.05 and 172.30.