GBP/JPY making use of 172 handle

FXStreet (Guatemala) - ="">="http://www.fxstreet.com/technical-studies/currencies/gbpjpy/">GBP/JPY is trading at 172.17, down -0.05% on the day, having posted a daily high at 172.34 and low at 172.12.

>>GBP/JPY has climbed a good amount of pips today and making use of the 172 handle while riding Sterling’s strength in Europe. Meanwhile, Catherine Stephen at BNP Paribas explained that the Bank of England left unchanged its official rate at 0.5% and the size of its Asset Purchase Programme at GBP 375 billion. “The BoE is likely to maintain an accommodative monetary policy in the coming months despite robust GDP growth. Indeed it has room of manoeuvre as inflation should remain below its 2% target”. Meanwhile, much of the action in the pair will depend on the outcome of USD/JPY and cable in respect of the cross and as analysts explained at The Bank of Tokyo-Mitsubishi UFJ, Ltd, “The US and Japan yield gap narrowing may support JPY buying tentatively if the payrolls report disappoints and we believe the lower bound is likely to be around the 101.50-level

g>GBP/JPY Levels

Spot is presently trading at 172.18, and next resistance can be seen at 172.25 (Daily Classic R1), 172.26 (Weekly High), 172.27 (Daily Open), 172.34 (Daily High) and 172.34 (Yesterday's High). Next support to the downside can be found at 172.12 (Daily Low), 172.04 (Hourly 20 EMA), 171.81 (Weekly Classic R1), 171.80 (Daily Classic PP) and 171.55 (Yesterday's Low).