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GBP/USD drops below 1.4200, hits 8-day low

FXStreet (Córdoba) - GBP/USD continued to fall during the American session, marking an over 200-pip slide from daily highs, to hit fresh its lowest level in 8 days.

GBP/USD broke below the 1.4200 level and scored a low of 1.4170, last seen Dec 21, as the dollar continues to strengthen against major peers despite lackluster GDP figures. At time of writing, the pair was trading at 1.4185, still down 1.20% on the day.

GBP/USD technical levels

In terms of technical levels, next supports are seen at 1.4170 (Jan 29 low) and not much until 1.4078 (7-year low, Jan 21). On the flip side, next resistances could be faced at 1.4253 (200-hour SMA), 1.4366 (Jan 26 high), 1.4412 (Jan 29 high) and 1.4426 (JAn 15 high).

Subsequent post BoJ moves will be shortlived - TDS

Analysts at TD Securities explained that while the BoJ rate cut has generated some interesting moves across markets in its immediate aftermath, we think its effects are likely to fade fairly quickly.
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USD/JPY retreats toward 121.00 after hitting 121.67

Volatility around the yen remains high on Friday. The decision of the Bank of Japan to introduce negative rates continue to affect the currency market. USD/JPY rose further on the back of a weak yen, a stronger US dollar and also boosted by US economic data.
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