GBPJPY breaks significant resistance at 166.40 and surged to 166.83 on the strong pound sterling. It has shown a minor retracement ahead of the UK autumn budget. Any close above 1.1950 confirms further bullishness; a jump to 1.2000/1.2100 is possible. Technically in the 4-hour chart, GBPJPY holds above 21-EMA, 55- EMA, and long-term 200 EMA (166.19). Any convincing close above 166.85 will take it to the next level 167.61/168.50. GBPJPY hits an intraday high of 166.68 and is currently trading around 166.56.
The near-term support is around 165, a breach below targets 164.40/163.65/163.
Indicators (4-hour chart)
CCI (50) – Bullish
ADX- Neutral
It is good to buy on dips around 166 with SL 165 for a TP of 168.
