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18 Mar 2015
Weak UK data pushes GBP/JPY below 178
FXStreet (Mumbai) - GBP/JPY slumped to fresh six-week lows below 178 levels, after the pound received a major blow versus the yen from disappointing UK macro data.
GBP/JPY falls from 179.04 levels
Currently, the GBP/JPY cross traded lower by -0.67% at fresh six week lows of 177.77 levels, plunging sharply from 179 barrier post the data release. The cross in GBP/JPY fell to more than one month lows as the worse than expected readings of UK jobs numbers as well as wages data battered the pound across the board.
Britain's jobless rate steadied at 5.7%, against expectations of it falling, while the claimant count rate fell for the 28th consecutive month to 2.4%.
The losses in the cross were exacerbated by a strengthening yen versus the US dollar as traders moved away from the reserve currency ahead of FOMC.
Meanwhile, UK Chancellor of the Exchequer George Osborne is scheduled to introduce his final budget before the May 7 general election in a speech to parliament later today, which may provide further moves on the cross.
GBP/JPY Levels to consider
To the upside, the next resistance is located at 178.47 (Jan 19 High) and above which it could extend gains to at 179 levels. To the downside immediate support might be located at 177.55 (Feb 4 Low) levels below that at 177 levels.
GBP/JPY falls from 179.04 levels
Currently, the GBP/JPY cross traded lower by -0.67% at fresh six week lows of 177.77 levels, plunging sharply from 179 barrier post the data release. The cross in GBP/JPY fell to more than one month lows as the worse than expected readings of UK jobs numbers as well as wages data battered the pound across the board.
Britain's jobless rate steadied at 5.7%, against expectations of it falling, while the claimant count rate fell for the 28th consecutive month to 2.4%.
The losses in the cross were exacerbated by a strengthening yen versus the US dollar as traders moved away from the reserve currency ahead of FOMC.
Meanwhile, UK Chancellor of the Exchequer George Osborne is scheduled to introduce his final budget before the May 7 general election in a speech to parliament later today, which may provide further moves on the cross.
GBP/JPY Levels to consider
To the upside, the next resistance is located at 178.47 (Jan 19 High) and above which it could extend gains to at 179 levels. To the downside immediate support might be located at 177.55 (Feb 4 Low) levels below that at 177 levels.