FxWirePro- GBPJPY Daily Outlook

GBPJPY was trading weak for the third consecutive day and lost more than 350 pips on the strong yen. It hits an intraday low of 165.08 and is currently trading around 165.603.

GBPUSD- Trend- Bearish

The cable surged above 1.2150 levels on board-based US dollar weakness. The pair recovered despite hawkish Fed speak. The economic recession and BOE's dovish rate hike prevent the pound sterling from further upside Any break above 1.22250 confirms further bullishness.

USDJPY- Bearish

The pair is in bearish mode and declined after hitting a minor top of 138.17. The yen climbed today on reports that the Japanese government revised its inflation target. Any close below 133.50  confirms a bearish continuation.  Minor resistance is 136.60/138.20.

GBPJPY analysis-

The near-term support is around 165, a breach below targets 165/164/163. The immediate resistance is at 166.20, a jump above will take the pair to 166.80/168.

Indicators (4-hour chart)

CCI (50) – Bearish

ADX- Bearish

It is good to sell on rallies around 166.20 with SL 167.25 for a TP of 164.