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8 Dec 2015
GBP/JPY finds support at 50-DMA ahead of UK data
FXStreet (Mumbai) - The drop in the GBP/JPY pair appears to have stalled around the 50-DMA located at 185.12 levels as investors await the UK industrial production data.
Risk-off supports Yen
The China-driven risk-off saw an increase in demand for the safe haven Yen, due to which the cross fell to a low of 185.06. The major equity index futures in Europe are pointing to a weak opening. Hence, the pair has not seen a notable recovery so far.
The investors now await the UK data, which could show the industrial production and manufacturing production stalled in October.
GBP/JPY Technical Levels
At 185.26, the immediate resistance is seen at 185.38 (5-DMA), above which the pair could target 185.81 (hourly 50-MA). On the other hand, a break below 185.21 (hourly 200-MA) would expose 184.50 (Oct 22 low).
Risk-off supports Yen
The China-driven risk-off saw an increase in demand for the safe haven Yen, due to which the cross fell to a low of 185.06. The major equity index futures in Europe are pointing to a weak opening. Hence, the pair has not seen a notable recovery so far.
The investors now await the UK data, which could show the industrial production and manufacturing production stalled in October.
GBP/JPY Technical Levels
At 185.26, the immediate resistance is seen at 185.38 (5-DMA), above which the pair could target 185.81 (hourly 50-MA). On the other hand, a break below 185.21 (hourly 200-MA) would expose 184.50 (Oct 22 low).