FXStreet (Mumbai) – The GBP/JPY cross failed to take out the hourly 200-MA at 185.05 levels and now trades around 184.70 levels ahead of UK consumer inflation expectations figure.
UK inflation expectations to drop?
The data may show a drop in the inflation expectations, which is in line with the BOE’s view. The minutes released yesterday reiterated low inflation in the short-term. Hence, a drop in the inflation expectations may not be surprising.
Meanwhile, the action in the European stocks would influence the demand for the safe haven Yen. As of now the pair is stuck between the hourly 100-MA and hourly 50-MA at 184.83 and 184.52 respectively.
GBP/JPY Technical Levels
The immediate resistance is seen at 184.83 (hourly 100-MA) and 185.05 (hourly 200-MA), above which the gains could be extended to 185.38 (50% of 174.88-195.88). On the other hand, a break below 184.52 (hourly 50-MA) would expose 184.00 levels.
(Market News Provided by FXstreet)