Ichimoku Analysis (Hourly Chart)
Tenken-Sen- 133.66
Kijun-Sen- 134.14
GBPJPY surged more than 100 pips from an intraday low of 133.04continues to trade lower and breaks major support 133.98. The weak Pound sterling on account of broad-based US dollar buying. GBPUSD recovered sharply after BOE Bailey confirmed that the central bank is not planning for negative interest rates. Markets eye UK PM's Cabinet Office Briefing Rooms (COBR) for further direction. USDJPY took support at 104 and shown a minor jump. The overall trend of GBPJPY is weak as long as resistance 135.75 holds.
The pair is holding well below 134 and this confirms major weakness, a dip till 131.75/130 likely. It is facing strong resistance at 134.40, any violation above that level targets 135/135.94/136.83.
It is good to sell on rallies around 134.55-60 with SL around 137 for the TP of 133.98.
