FxWirePro: GBPJPY downside capped by 23..6% fib, good to buy on dips

Ichimoku Analysis (4 Hour chart)

Tenken-Sen- 131.46

Kijun-Sen- 129.41

GBPJPY has shown a massive recovery of more than 150 pips for the day after hitting a low of 130.80 level. The jump was mainly due to the strong GBP. The pound sterling hits 6-week high at 1.23820 and was one of the top performers in the past two weeks.It has jumped more than 400 pips from a low of 1.19583.

GBPJPY hits an intraday high of 132.54 and is currently trading around 132.34.

The yen is trading weak against USD and any major jump can be seen only above 107.20 level. Any break above will reach 107.85/108.25.

Technically, the pair is facing strong resistance around 132.60 and any violation above targets till 133. Any break above 133 targets 135.78.

On the flip side, major support is around 130.85 (23.6% fib) and any convincing break below will drag the pair to the next level till 130/129.40/129. Major bearish continuation only below 126.50. The near term support is around 131.75/131.40.

It is good to buy on dips around 131.45-50 with SL around 130.80 for the TP of 133.