FxWirePro: GBPJPY upside capped by 20-day MA, any break above targets 138.30

Major resistance - 137.20 (20- day MA)

GBPJPY is consolidating in the narrow range between 137.179 and 135.94 in the past four days. Yesterday it was showing minor weakness till 136.14 and shown a recovery. The jump was mainly due to strength in Pound sterling despite no deal Brexit. GBPUSD advances higher and it is facing strong resistance around 1.2800 (55- day EMA). The escalation of US-Iran tension is supporting safe-haven assets like yen, Swiss franc. The pair hits high of 136.84 and is currently trading around 136.56.

Technically, the near term resistance is around 137.22 (20- day MA) and any convincing break above will take the pair to next level till 138.32 (Jun 2nd week high)/138.60/139.64.

On the flip side, near term support is around 136 any violation below will drag the pair till 135.38 (Jun 18th low). Any bearish continuation only below 135.35 level.

It is good to buy above 137.20 with SL around 136.60 for the TP of 139.60.