The GBP/JPY currency pair continued to fall during Friday’s European session, falling below 1.2050. The asset has tested its 163.00 four-day low and is under bearish pressure due to the S&P Global/CIPS Manufacturing PMI.

Data for the UK Market Manufacturing PMI were made public on Friday by Markit Economics and the Chartered Institute of Purchasing and Supply. The GBP Market Manufacturing PMI scored 52.8 in June, down from the previous month’s figure of 53.4, according to FXStreet.

The UK Manufacturing PMI figures show the overall economic health of the manufacturing industry in the country.

Market vendors offer services. Contrarily, the manufacturing industry affects the GDP of the nation either favorably or unfavorably.

Moreover, in the coming week, Huw Pill, the Chief Economist and Executive Director for Monetary Analysis and Research of the Bank of England (BoE), has a speech. For domestic developments, BoE tightening expectations have softened a bit, which has a bearing on the value of the GBP/JPY pair.

Conclusion

Since the GBP/JPY pair produced a higher low in the latest negative move, as illustrated in the daily chart attached, the technical bias remains optimistic.

As a result, short to medium-term traders would benefit from the selling approach.