GBP/JPY meets the 200 DMA ahead of BoE Haldane speech
- Andrew Haldane from BoE is scheduled to speak at 18:15 GMT.
- The 200 DMA and 1-hour SMA are providing dynamic resistance.
The GBP/JPY is trading up, at 147.70 capped by the 200 DMA.
Andrew Haldane, The Bank of England’s chief economist is scheduled to deliver a speech at the Royal Society for the Encouragement of Arts, Manufactures, and Commerce, in London at 18:15 GMT.
Except the BoE speech there is no other significant event in the economic calendar from England and Japan during the US session, therefore until 18.15 GMT price action will essentialy be dictated by sentiment and technicals. However the British Pound is still vulnerable to any news coming from the EU-UK trade deal.
The key event of the week for Japan is most likely to be Friday's Bank of Japan decision. Market participants are awaiting any hints on quantitative easing after Governor Kuroda announced last week he might end stimulus during FY2019.
Technically on the daily chart, the GBP/JPY has found resistance at the 147.80-148.00 area where the 200-period simple moving average is capping the price. The 200-period SMA is also providing dynamic resistance at this level. Next resistance is found at the 149.30 with the 23.6% Fibonacci retracement as shown in the daily chart. To the downside intraday support is found at the low of the day at 146.55. Further down, the next key support is the 145.00 figure which is the cyclical low.
GBP/JPY daily chart
