Mar. 3, 2021
Hesitant but green: from an earlier low of 148.82, GBP/JPY is up to 149.31, gaining 39 pips compared to 148.91 at the start of the day (0.27%). (Trade Pound/Yen with FXTM now).
Meanwhile, released today at 12:30 AM, Japan's Services PMI showed an uptick, coming in at 46.3, up from the previous number of 46.1. Data for United Kingdom Nationwide HPI (MoM) (Feb) released yesterday at 7:00 AM came out at 0.7, beating projections of -0.3 and showing improvement over the preceding figure of -0.2. The United Kingdom Nationwide HPI (YoY) (Feb) came out at 6.9, above the estimate of 5.6. This is also a step forward from the previous data of 6.4.
Chart visual study suggests the pound/yen could be slowing down soon as it is approaching and is only 36 pips away from resistance at 149.67, of course, crossing it might suggest further gains are ahead. In terms of trend indicators, we can see that the CCI indicator is above 100. When the CCI (Commodity Channel Index) is at this level, it means the price is above the average price as measured by the indicator, indicating a possible start of a new uptrend. Momentum evaluation shows the Relative Strength Index indicates the Pound/Yen is in overbought condition. Asset volatility analysis shows that a slight indication of a slowdown comes from looking at the Bollinger bands: the upper band is at 150.37 – a high enough level to usually suggest the Pound/Yen is trading above its value.
Overall, the technical analysis suggests the Pound/Yen is neutral for the immediate future, with no clear-cut direction.
A look at other markets shows behavior that usually indicates a green move for the pound/yen as HANG SENG INDEX is trading around 29,834.25 after starting the session at 29,096 (up 2.54%). SSE is trading around 3,577 after starting the session at 3,508.59 (up 1.95%).
The market is looking forward to United Kingdom Services PMI projected to outperform last figure with 49.7 while it previously stood at 39.5, data will be released today at 9:30 AM. The United Kingdom Construction PMI is projected to outperform the last figure with 51, while it previously stood at 49.2, figure will be published tomorrow at 9:30 AM. The United Kingdom Annual Budget Release is set for today at 12:30 PM.
Pound/Yen social media highlights: