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29 Jul 2015
GBP/JPY spikes to 193.50
FXStreet (Mumbai) - The GBP/JPY rose to 193.50 on Wednesday, in a move which appears to be an extension of Tuesday’s post-UK GDP rally in the GBP.
Takes out key Fib resistance
The spot is back above 193.30, which is the 76.4% fib retracement of the fall from 195.876 to 184.987. The pair jumped from the 50-DMA support on Tuesday after the UK Q2 GDP showed the economy expanded 0.7%; its tenth straight expansion.
The GBP/JPY could continue to rise ahead of the FOMC statement if the US desks ditch the USD in anticipation of a non-committal by the Fed.
GBP/JPY Technical Levels
The spot currently trades around 193.45. The immediate resistance is seen at 194.37 (July 17 high), ahead of the major resistance at 195.87 (June 24 high). On the other hand, support is seen at 193.30 (76.4% fib of 195.876-184.987) and 191.75 (50-DMA).
Takes out key Fib resistance
The spot is back above 193.30, which is the 76.4% fib retracement of the fall from 195.876 to 184.987. The pair jumped from the 50-DMA support on Tuesday after the UK Q2 GDP showed the economy expanded 0.7%; its tenth straight expansion.
The GBP/JPY could continue to rise ahead of the FOMC statement if the US desks ditch the USD in anticipation of a non-committal by the Fed.
GBP/JPY Technical Levels
The spot currently trades around 193.45. The immediate resistance is seen at 194.37 (July 17 high), ahead of the major resistance at 195.87 (June 24 high). On the other hand, support is seen at 193.30 (76.4% fib of 195.876-184.987) and 191.75 (50-DMA).