Chart of The Day GBPJPY

<h2><span>Chart of the Day GBPJPY</span></h2>
<p><strong>GBPJPY Pivotal 140.50 test – Potential Reversal Zone</strong></p>
<p><span><strong>The US employment data was far better than expected</strong>. The US dollar index closed last Friday, rising 0.3% to 96.9, ending the six-day decline, and still falling 1.4% weekly, down for three consecutive weeks. The 10-year US Treasury yield once rose 13 basis points to 0.96% last Friday, the highest since mid-March, closing at 0.895% and rising 24 basis points weekly. </span><span>The number of non-agricultural jobs in the United States increased by 2.509 million in May, the highest since its record in 1939. The unemployment rate fell from 14.7% to 13.3%. The market had originally expected non-agricultural jobs to decrease by 7.5 million and the unemployment rate rose to 19%. The Ministry of Labor notes that some of the employed people included in the statistics may have been absent from work for a period of time. If the relevant figure is included in the unemployment rate, it may increase to 16% US President Trump said he expects the US economic recovery to be faster than expected, but will still ask Congress to pass more economic stimulus measures, including cutting salaries tax. White House economic adviser Hassett pointed out that the government will launch a new round of bail-out plan, which will depend on the job market conditions in June. The Federal Reserve Board lowered the daily purchase of Treasury securities from US$1 billion to US$4 billion this week. The Bureau announced the results of its interest rate negotiations on Wednesday. It is expected that the scale and interest rate of bond purchases will remain unchanged.</span></p>
<p><span><strong>GBP:</strong> Frost, the Brexit chief negotiator, issued a statement saying that the UK and the EU are currently making limited progress; EU Brexit chief negotiator Barnier also pointed out that the two parties have not made significant progress in their future relations in the new round of negotiations</span></p>
<p><strong>JPY: </strong><span>Japanese Minister of Economy Kangmin said that he will continue to introduce policies to support the economy to ensure that the Japanese economy has bottomed out in April and May. Japan’s economy declined by 2.2% quarter-to-quarter in the first quarter, narrowing from the previous revision of 3.4%; April’s current account surplus narrowed to 262.7 billion yen, lower than the expected 377.2 billion yen</span></p>
<p><img class="aligncenter size-full wp-image-44915" src="http://blog.tickmill.com/wp-content/uploads/2020/06/Screenshot-2020-06-08-14.41.29.png" alt="" width="1642" height="1221" srcset="https://blog.tickmill.com/wp-content/uploads/2020/06/Screenshot-2020-06-08-14.41.29.png 1642w, https://blog.tickmill.com/wp-content/uploads/2020/06/Screenshot-2020-06-08-14.41.29-300×223.png 300w, https://blog.tickmill.com/wp-content/uploads/2020/06/Screenshot-2020-06-08-14.41.29-1024×761.png 1024w, https://blog.tickmill.com/wp-content/uploads/2020/06/Screenshot-2020-06-08-14.41.29-768×571.png 768w, https://blog.tickmill.com/wp-content/uploads/2020/06/Screenshot-2020-06-08-14.41.29-1536×1142.png 1536w" sizes="(max-width: 1642px) 100vw, 1642px" /></p>
<p><span><strong>From a technical and trading perspective</strong>, price looks poised to test the pivotal 140.50 potential  reversal zone (PRZ), bears will be watching for supply in this area to play for a correction to the surge higher from the March lows. This PRZ represents the 78.6% retracement of the entire pandemic decline and the primary equality objective. Watch for intraday/daily key reversal patterns to set short exposure targeting a move to retest pitchfork support back towards 136</span></p>
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