Market Muted On UK’s Services PMI – GBP/JPY Trades Bearish Butterfly

The Markit just released the services PMI figures for the United Kingdom. The data led to another solid rise in business activity across the UK service division, with the rate of growth sliding only insignificantly since August. The latest poll indicated that the services PMI holds at 53.9 which is slightly below the forecast of 54, however, it’s above 50 and still shows a robust economic growth for the British economy.

On the daily timeframe, the GBP/JPY has formed a very nice bearish butterfly pattern which has completed its C to D wave at 149.750. The pair is trading right below the same level.

Support Resistance
148.12 149.28
147.61 149.94
146.45 151.1
Key Trading Level: 148.78

GBP/JPY Trade Idea – The idea is to stay bearish below 148.78 to target 147 with a stop loss above 149.150. Good luck!