Key Points
- The British Pound remains in a nice uptrend with a move above 147.10 against the Japanese Yen.
- The GBPJPY pair is currently trading above a major support trend line at 147.50 on the hourly chart.
- In the UK today, the RICS Housing Price Balance for April 2017 was released by the Royal Institution of Chartered Surveyors.
- The result was in line with the forecast, as the RICS Housing Price registered a rise of 22%.
GBPJPY Technical Analysis
The British Pound registered good gains, as it moved above 146.00 and 147.00 against the Japanese Yen. The GBPJPY pair also moved above the 21 hourly simple moving average and traded as high as 148.10 recently where it faced offers.
The pair is currently correcting lower, and trading below the 23.6% Fib retracement level of the last wave from the 147.12 low to 148.00 high.
There is a crucial support trend line at 147.50 on the hourly chart waiting to act as a barrier for sellers along with the 21 hourly simple moving average. Moreover, the 50% Fib retracement level of the last wave from the 147.12 low to 148.00 high is also near 147.50. So, one may consider buying near 147.50 if the pair corrects further.
UK’s RICS Housing Price Balance
Recently in the UK, the RICS Housing Price Balance for April 2017 was released by the Royal Institution of Chartered Surveyors. The forecast was lined up for the housing costs in the UK to increase by around 22%.
The outcome was in line with the forecast, as the RICS Housing Price registered a rise of 22%. The statement released mentioned that the “results show that new instructions continue to drop. Anecdotal evidence cites a lack of choice, uncertainty due to the calling of an early election and the ramifications of stamp duty changes as factors hampering activity”.
Overall, the GBPJPY may drop a few pips towards 147.50, but remains in an uptrend in the near term.
