by most major central banks. Early next week, Japan's first-quarter GDP figures are expected, with forecasts pointing towards a contraction of around 0.5% compared to the prior quarter. Similarly, the UK is due to release new labor market data on Tuesday, with expectations of a significant job loss of around 177,000 in the three months leading up to April. Apr PMI, which fell to 48.7 compared to expectations of 50.3. The dominance of the services sector in the UK economy, which accounts for more than 80% of total spending compared to manufacturing's 9.3%, suggests that investors have overlooked the weakness of manufacturing. The market is now awaiting Japan's economic data which will be released on Friday. The Bank of Japan is reporting that there are calls for the Tokyo Consumer Price Index (CPI) to remain unchanged at 2.6 percent. The bank is also requested to include its latest installment agreement as it will be released nearer the time. Investors will pay close attention to Bank of Japan Governor Kazuo Ueda's press conference for any indication of the future monetary policy.
path. On the technical side, the GBP/JPY currency pair is near an old resistance zone between 192.80 and 193.00. Currently, it is trading within this range and slightly above the 190.00 level. Daily price action remains limited to the April range, with GBP/JPY set at just 194.00, slightly below March's 9-year high. Clearly, despite the decline, overall sentiment for GBP/JPY is bullish. The pair is trading comfortably above its 200-day exponential moving average (EMA) at 184.90. But, some technical indicator traders are skeptical. The Average Directional Action Index (ADX) is below 25, indicating a market without a trend. Similarly, the Relative Strength Index (RSI) is around 50, which is correct. The stochastic indicator is indicating a possible upward movement but needs more momentum to call it a strong signal. If bullish momentum strengthens, GBP/JPY could test resistance at the July 21, 2005 low of 192.57 and possibly break the uptrend line established on January 2, 2024. A successful breakout could see GBP/JPY set a new 2024 high above the current high of 193.52 near 195.00 I think the trading plan is clear enough by looking at the bullish trend conditions and the price pattern structure which still shows higher high - higher low. Position entry is placed when the price completes the downward correction phase which is likely to be around the EMA 50 or price range 200.42. Confirmation is waiting for a valid Stochastic indicator parameter crossing in the oversold zone at level 20 - 10. Meanwhile, the MACD indicator seems to be sufficient to maintain the uptrend momentum in the positive area. Take profit can be placed at high prices 201.28 and place stop loss around low prices 199.91
path. On the technical side, the GBP/JPY currency pair is near an old resistance zone between 192.80 and 193.00. Currently, it is trading within this range and slightly above the 190.00 level. Daily price action remains limited to the April range, with GBP/JPY set at just 194.00, slightly below March's 9-year high. Clearly, despite the decline, overall sentiment for GBP/JPY is bullish. The pair is trading comfortably above its 200-day exponential moving average (EMA) at 184.90. But, some technical indicator traders are skeptical. The Average Directional Action Index (ADX) is below 25, indicating a market without a trend. Similarly, the Relative Strength Index (RSI) is around 50, which is correct. The stochastic indicator is indicating a possible upward movement but needs more momentum to call it a strong signal. If bullish momentum strengthens, GBP/JPY could test resistance at the July 21, 2005 low of 192.57 and possibly break the uptrend line established on January 2, 2024. A successful breakout could see GBP/JPY set a new 2024 high above the current high of 193.52 near 195.00 I think the trading plan is clear enough by looking at the bullish trend conditions and the price pattern structure which still shows higher high - higher low. Position entry is placed when the price completes the downward correction phase which is likely to be around the EMA 50 or price range 200.42. Confirmation is waiting for a valid Stochastic indicator parameter crossing in the oversold zone at level 20 - 10. Meanwhile, the MACD indicator seems to be sufficient to maintain the uptrend momentum in the positive area. Take profit can be placed at high prices 201.28 and place stop loss around low prices 199.91
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