Should we watch for further gains in the GBP/JPY pair following the improvement in industrial production?
17.03.2025
- Canada: International Securities Trading Volume
- Rice · Corporate Inventories
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 U.S. 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% decline.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 21:15, Canadian housing starts; at 21:30, Canadian international securities turnover, U.S. retail sales, and the U.S. NY Fed Manufacturing Index; and at 23:00, U.S. business inventories and the 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.
Author: Keisuke Sakurai
