GBP/JPY the shining star as range trading continues ahead of French and Spanish auctions

<p>EUR/USD Range: 1.3110-1.3133 Support: 1.2980 Resistance: 1.3210 Not much to add here as Asia trades in a 23 point range ahead of the all important […]</p>

Range: 1.3110-1.3133
Support: 1.2980
Resistance: 1.3210

Not much to add here as Asia trades in a 23 point range ahead of the all important Spanish and French auctions today at 9.30am and 10am GMT respectively. EUR/USD continue to trades 1.3050-1.3170 with the broader range noted at 1.2950-1.3250. EUR/GBP fell to its lowest level since August 2010 yesterday following the release of the MPC minutes with supports now being eyed at 0.8140 and 0.8070 with the previous support at 0.8220 now seen as the near term resistance.

Range: 1.6015 – 1.6071
Support: 1.5960
Resistance: 1.6060

Sterling has outperformed in the last 24-hours with important technical levels broken, although we saw a slightly brighter picture in the UK jobs report the main catalyst behind the rise in the queens currency was the ever dovish MPC member Adam Posen switching camps at the last MPC meeting and voting for no further QE. A weekly close above 1.5960 will encourage GBP bulls with 0.8070 noted as the next support/target in EUR/GBP.
Range: 81.17-81.54
Support: 80.80
Resistance: 81.80

The JPY was the highlight in the Asian session yet again with the release of the March trade balance revealing a mixed picture with the initial headline showing a stronger reading only for the seasonally adjusted number to reveal the overall picture is not strong for Japan. The JPY then fell across the board following BOJ governor Shirakawa’s comments that the BOJ is committed to powerful monetary easing.

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