GBPJPY lost more than 500 pips in the past two days on the weak pound sterling. The dollar outperformed against all majors as the Fed plans for aggressive rate hikes. The policy divergence between US Fed and BOE is putting pressure on GBPUS at higher levels. Any breach below 1.2680 (Sep 23rd, 2020 low) confirms further bearishness. GBPJPY hits an intraday high of 163.60 and is currently trading around 163.38.
USDJPY
USDJPY regained 128 levels on improving market mood. Any intraday weakness is only below 127.
Technicals:
On the lower side, immediate support is around 162, breach below will drag the pair to the next level to 160/159. The minor resistance to be watched is around 164, a break above that level confirms intraday bullishness, and a jump to 166/168 is possible.
It is good to sell on rallies around 163.55-60 with SL around 165 for the TP of 160.
