- GBP/JPY has shown a minor selling after hitting intraday high of 146.86. The rise of almost 250 pips from the low of 143.76 was mainly due to huge jump in GBPUSD. Cable rose more than 200 pips from low of 1.30496 on account of positive UK economic data and slight weakness in US dollar index after German political parties agreed to Germany migration deal. UK services PMI data came at 55.1up from 54 in May. The manufacturing and construction PMI also came better then expected. It is currently trading around 146.70.
- The pair is facing strong resistance at 146.50 (Jul 2nd high) and any break above will take the pair till 147/147.29 (50% fib)/148.11. Any close above 148.11 will take the pair to next level till 149/150.
- On the lower side, near term support is around 145 and any break below will take the pair to next level till 144.38/143.75.
It is good to buy on dips around 146.40-50 with SL around 145.80 for the TP of 148.
Resistance
R1- 146.50
R2 –147
R3- 147.29
Support
S1- 145
S2-144.38
S3-143.75
