As Japan is waging its own trade dispute with South Korea, the second-quarter GDP surprised to the upside on the back of a surge in business spending. The Japanese consumer, in its usual fashion, lagged behind. Despite the upside surprise, forex traders kept the GBPJPY hovering at a string support level. The Bank of Japan vowed to defend excessive Japanese Yen strength and the British Pound started to show signs of downside exhaustion. Is this currency pair on the verge of a short-covering rally? Today’s fundamental analysis will take a look at the upside potential and the downside risk over the next few trading sessions.

Forex traders will get a range of key UK economic data, with GDP front and center. Economists predict a flat reading annualized for the second-quarter, can the UK GDP surprise to the upside like the Japanese one did? Industrial and manufacturing data is anticipated to show contractions across the board as a no-deal Brexit is becoming more likely. Economists agree that businesses are slowing down activity until after Brexit. Will today’s data agree with them? How did the powerful UK services sector fare? The GBPJPY started to grind out a bottom, is now the time to go long? Follow the PaxForex Daily Fundamental Analysis and earn more pips per trade!