Should we focus on the upside potential of the GBP/JPY pair, which has risen on the back of improved industrial production?

Should we focus on the upside potential of the GBP/JPY pair, which has risen on the back of improved industrial production?

17.03.2025

Last weekend, the U.S. dollar strengthened against the yen. The USD/JPY pair rose from 147.710 to 149.017. The price rebounded from the -2σ to the +2σ levels on the hourly Bollinger Bands. On the 4-hour chart, the lows are gradually rising, and on the daily chart, the RSI is showing signs of rebounding from the 30 level. We will be watching price movements during U.S. trading hours to see if the dollar continues to hit new highs.

European currencies rose as the pound strengthened against the yen following the release of UK January industrial production data on the 14th, which showed a year-on-year decline of 1.5%, an improvement from the previous month’s 1.9% drop.GBP/JPY rose from 191.167 to 192.748. On the hourly chart, the price has moved from below the 20-period moving average (MA) to above it. On the 4-hour chart, the upward trend along the 20-period MA continues, and on the daily chart, the price is currently attempting to break above the 200-period exponential moving average (EMA), which had been acting as an upper resistance level.

Today’s economic indicators include UK Rightmove house prices at 9:01, China’s new home sales prices at 10:30, China’s industrial production and retail sales at 11:00,at 9:15 PM: Canada Housing Starts; at 9:30 PM: Canada International Securities Turnover, U.S. Retail Sales, and U.S. NY Fed Manufacturing Index; and at 11:00 PM: U.S. Business Inventories and U.S. NAHB Housing Market Index. We will be watching for further upside potential in GBP/JPY, which rose on the back of improved industrial production.

Past Market Reports

1. 17.04.2026New

   Will the market wait and see how much further the U.S. dollar can rise against the yen?

2. 16.04.2026New

   Will the weakening Swiss franc recover? Attention is turning to price movements during European trading hours.

3. 15.04.2026New

   Market participants are likely keeping a close eye on the upside potential of the euro, which has risen against the U.S. dollar

4. 14.04.2026New

   Should we keep an eye on remarks by key figures in the U.S. and try to gauge the direction of currency strength?

5. 13.04.2026New

   Market participants are likely watching for signs of a rebound in the Canadian dollar, which fell against the U.S. dollar following the release of employment figures

6. 10.04.2026

   Will the weakening Swiss franc continue to strengthen against the yen, or should we wait and see?

7. 09.04.2026

   Will the U.S. dollar, which has fallen against the yen, continue its downward slide, or should we wait and see how the market moves?

8. 08.04.2026

   Should we keep an eye on the upside for European currencies that have risen against the U.S. dollar?

9. 07.04.2026

   Market participants may be wary of further downside potential for the U.S. dollar, which has weakened amid concerns over the situation in Iran

10. 06.04.2026

    Investors should be wary of sudden spikes in volatility while major markets are closed