Instrument: GBPJPY
Bullish Preference:
A buy position is envisaged if the price trades above 183.460 With take profit at 183.668
Bearish Preference:
A sell position is envisaged if the price trades below 183.074 with Take profit at 182.859
Fundamentals:
GBP: Claimant Count Change
Comment:
Looking ahead and the GDP data out of the UK showed promising signs once more. The Bank of England have remained firm in their belief that inflation will trickle down in Q3 and Q4 of 2023 with the most recent print showing a significant drop-off. However, yesterday comments from Chancellor Hunt seemed to suggest that the challenge is turning out to be a lot tougher than expected.
There is no denying the UK economy has remained resilient for the large part, however today’s data will add to the Bank of England’s (BoE) conundrum. As the jobless rate continues to tick higher earnings remain stubborn and something that has been a growing concern for the BoE as it looks to rein in inflation. It is key to note that the earnings figure may be slightly distorted by the NHS and Civil Service one-off payments made in June and July 2023.
Analysis: SCRUM Team