GBP/JPY Reclaims 162.00 Mark Ahead of UK GDP Release
Recovering from early dip below 162.00 mark, the GBP/JPY pair has spiked over 60-pips to currently trade near 162.50 level ahead of UK GDP release for the first quarter of 2016.
The
quarterly release of UK GDP is expected to show economy growing at 0.4%
q/q, at a slightly slower pace as compared to 0.6% q/q growth
registered in the last quarter of 2015. Today's UK GDP data and
Thursday's BoJ monetary policy meeting outcome would be the key driver
in determining the near-term direction for the pair.
Technical levels to watch
A
sustained move above 162.50 level seems to set the stage for an
immediate up-move beyond 163.00 handle towards testing March high
resistance near 164.00 round figure mark. Further, a clear break-through
March highs would now open room for continuation of the pair's
near-term appreciating move, possibly towards its next major resistance
near 166.00 handle.
Alternatively, reversal from current
resistance area and a subsequent drop below day's low support near
161.80 level, the pair seems more likely to break below 161.00 mark
intermediate support to retest 160.00 psychological mark support.