FxWirePro: GBP/JPY trade Idea

• GBP/JPY has shown a good jump in today’s trading and jumped almost more than 100 pips. The pair hits high of 147.98 after Trump and Kim meeting ends in positive note. They both have signed a denuclearization deal and yen started to fall sharply against all pairs. UK parliament is expected to reject Brexit-related legislation changes that the House of Lords approved earlier. GBP recovered slightly after better than expected UK jobs data. UK jobless claim declined by 7700 in May but wage growth has slightly disappoints. GBP jumped almost 75 pips from intraday low of 1.33427.  The yen declined on easing geo political tension especially between US and N.Korea. USD/JPY has shown a good recovery and its overall trend is strong. It has closed well above 110.17 (200 –day MA) confirms further jump and it is currently trading around 110.49 GBPJPY is currently trading around 147.47.
   
• The pair is facing strong resistance at 148.36 (55- day EMA) and any convincing break above will take the pair to next level till 149/149.60 (200- day MA).
   
• On the lower side, near term major support is around 146.14 (38.2% fibo) and any convincing break below will drag the pair to next level till 145/143.20.

It is good to buy on dips around 147 with SL around 146 for the TP of 150.

Resistance

R1- 148.35
 

R2 –149
 

R3- 150

Support               
 

S1- 146
 

S2-145
 

S3-143.20