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GBP/JPY attempts consolidation above 158.40

FXstreet.com (Chicago) - GBP/JPY prints higher lows and highs but remains capped at 158.49 session highs on yen’s deterioration after US shutdown came to an end and Nikkei’s performance improves.

Stronger pound, stronger data

The pound strengthened across the board on Thursday printing higher gains throughout the journey after retail sales data outperformed at 2.2% vs. past 2.1% (YoY) and retail sales ex-fuel (YoY) at 2.8% vs. past 2.3% and expected 2.1%.

GBP/JPY Technical Levels


Technically speaking, the pair is offered at 158.42 and oscillates between supports aligned at 157.97 (October 16th highs), 157.50 (October 10th highs) ahead of 157 (October 17th lows) and the resistances set at 158.45 (October 17th highs), 158.85 (October 4th highs) followed by 159.26 (September 26th highs). According to the FXstreet.com trend index, the pair is slightly bullish on one-hour timeframe analysis above the EMA20. Extending the upward trendline from yesterday after a couple of days of sideways price action, the pair managed to pull off a climb on yen’s weakening by risk appetite that grows back in the markets leaving safe haven currencies undermined.

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