Should we wait and see how much further the GBP/JPY pair can rise after its rebound?
03.03.2025
- UK Manufacturing PMI
- U.S. PMI (Purchasing Managers' Index)
Last weekend, the U.S. dollar rose against the yen despite the fact that the U.S. PCE deflator, released on February 28, showed a year-over-year decline from the previous month, including the core component.The USD/JPY pair rose from 149.104 to 150.986, breaking above the resistance level of the 200-period simple moving average (SMA) on the hourly chart. On the 4-hour chart, the price has recovered to near the 75-period SMA, and on the daily chart, a retracement has occurred from the -2σ Bollinger Band to the centerline.
Among European currencies, the pound strengthened against the dollar during U.S. trading hours, trailing only the U.S. dollar. The GBP/JPY pair rose from 187.963 to 190.312. The hourly RSI recovered from 35 to 62. On the 4-hour chart, the price has risen from below the 20-period moving average to above it, and on the daily chart, it avoided hitting a new low and has begun to rebound. It will be interesting to see if the pound maintains its strength into the beginning of the month.
Today, at 9:30 AM: Indonesia Manufacturing PMI, Malaysia Manufacturing PMI, Thailand Manufacturing PMI; at 1:00 PM: Indonesia Consumer Price Index; at 2:00 PM: India Manufacturing PMI; at 4:00 PM: Turkey Manufacturing PMI, Turkey Consumer Price Index; at 5:30 PM: Hong Kong Retail Sales;Swiss Manufacturing PMI, at 5:50 PM the French Manufacturing PMI, at 5:55 PM the German Manufacturing PMI, at 6:00 PM the Eurozone Manufacturing PMI, at 6:30 PM the UK Manufacturing PMI, at 7:00 PM the Eurozone Consumer Price Index, at 11:45 PM the US PMI Purchasing Managers' Index, and at 12:00 AM the US ISM Manufacturing Index.I intend to carefully monitor the upside potential of GBP/JPY, which has shown signs of a rebound.
Author: Keisuke Sakurai
