25 Feb 2015
GBP/JPY struggles near 61.8% Fibo levels
FXStreet (Mumbai) - The GBP/JPY pair is struggling to rise above the 61.8% Fib retracement level of the down trend from 189.68 to 175.48 located at 184.24. The pair hit a high of 184.32 before falling back below 184.24 levels.
GBP/JPY: gains capped by falling US Treasury yields
The British Pound remains well supported on hawkish comments from the Bank of England governor Mike Carney. However, Fed Chief’s slightly dovish testimony has pushed the 10-year Treasury yield in the US sharply lower. The yield currently trades at 1.983%, down from the high of 2.105 seen in the previous session. Consequently, the USD/JPY pair has weakened to 118.85 levels. With a slight uptick in the Treasury yields, the Yen could weaken further, thereby pushing the GBP/JPY pair well above 184.24 levels.
GBP/JPY Technical Levels
The immediate resistance is seen at 184.24, above which gains could be extended to 185.21 levels. On the flip side, support is seen at 183.61 (5-DMA) and 183.22 (10-DMA) levels.
GBP/JPY: gains capped by falling US Treasury yields
The British Pound remains well supported on hawkish comments from the Bank of England governor Mike Carney. However, Fed Chief’s slightly dovish testimony has pushed the 10-year Treasury yield in the US sharply lower. The yield currently trades at 1.983%, down from the high of 2.105 seen in the previous session. Consequently, the USD/JPY pair has weakened to 118.85 levels. With a slight uptick in the Treasury yields, the Yen could weaken further, thereby pushing the GBP/JPY pair well above 184.24 levels.
GBP/JPY Technical Levels
The immediate resistance is seen at 184.24, above which gains could be extended to 185.21 levels. On the flip side, support is seen at 183.61 (5-DMA) and 183.22 (10-DMA) levels.