GBPJPY showed a minor sell-off as bearish yen offsets Pound sterling weakness. It hits a low of 171.22 yesterday and is currently trading around 172.42.
GBPUSD- Trend- Bearish
The pound sterling hits a fresh six-week high on board-based US dollar buying. BOE Governor Bailey said that inflation is high and taking a long to come down. Markets eye for US debt negotiations deals for further direction. Any break below 1.2320 confirms further bearishness.
USDJPY- Bullish
The pair hits a fresh five-month high on surging US treasury yield. Significant resistance is 140/142.
GBPJPY analysis-
The near-term support is around 171.65 a breach below the targets of 171.20/170/169.30/168.80. The immediate resistance is at 172.50, any violation above will take the pair to 175.
Indicators (4-hour chart)
CCI (50)- Bullish
ADX- Neutral
It is good to buy on dips around 170 with SL around 169.30 for a TP of 172.40.
