FxWirePro- GBPJPY Daily Outlook
GBPJPY is trading higher for the fifth consecutive day and surged more than 1000 pips on the strong Pound sterling. It gained sharply against the US dollar on board-based US dollar selling. The reversal of the tax rate cut plan of 45% applied to earnings above £150000 supporting the pair's lower levels. Technically in the 4-hour chart, holds above short-term 21-EMA, 21 EMA, and long-term 200 EMA (161.55). Any convincing break above 165.25 will take the pair to the next level 166.35/167. GBPJPY hits an intraday high of 165.20 and is currently trading around 164.90.
The near-term support is around 164.50, a breach below targets 163.50/162.70/162.
Indicators (4-hour chart)
CCI (50) – Bullish
It is good to buy on dips around 164.50 with SL around 163.75 for TP of 166.35.