FxWirePro- GBPJPY Daily Outlook

GBPJPY continues to trade weak for a fourth consecutive week and lost more than 1000 pips on the weak pound sterling. It showed a minor pullback from a 2-year low of 1.2155 against the US dollar on short covering. The policy divergence between the US fed and BOE  and Brexit pessimism putting pressure on the Pound sterling. Any breach below 1.2150 confirms the further bearish trend. GBPJPY hits an intraday high of 159.23 and is currently trading around 157.90.

USDJPY

USDJPY pared most of its gains on declining US bond yields. The intraday bearishness is only below 128.50.

Technicals:

On the lower side, immediate support is around 157, breach below will drag the pair to the next level to 155.80/155/154. The minor resistance to be watched is around 158.50, a break above that level confirms intraday bullishness, and a jump to 160/162 is possible.

It is good to sell on rallies around 158.45-50 with SL around 160 for the TP of 154.