The GBP/JPY gained sharply as the Pound gained momentum after the hawkish BOE monetary policy. It hit an intraday high of 198.436 and is currently trading around 198.31. Intraday trend is bullish as long as the resistance at 197.30 holds.
‘The GBP/JPY pair is trading above 55 and 200 EMA (Short-term) and 365 EMA (long-term) on the 4-hour chart, confirming a bullish trend. Any violation below 197.30 indicates the intraday trend is weak. A dip to 196.70/196.20/195/194/193/191.95/190 is possible. Immediate resistance is at 198.60 a breach above this level targets 199.35/200.
Market Indicators ( 4-hour chart)
CCI (50)- Bullish
Directional movement index - Bullish
Trading Strategy: Buy
It is good to buy on dips around 197.58-60 with SL around 197 for a TP of 200.
