GBPJPY has been under consolidation for the past two days with intraday bias neutral. It hit a low of 190.25 and is currently trading around 190.83.
The Japanese yen showed a minor weakness ahead of US GDP. BOJ Deputy Governor Ryozo Himino said yesterday that the central bank would hike rates if inflation continues to surge.
Technicals-
The pair is trading below 34- and 55 EMA in the hourly chart.
The near-term resistance is around 191.25, a breach above targets 191.50/192—major trend continuation only above 192.05. Any breach above 192 will target 161.8% fib of 191.99 and 188.23. The immediate support is at 190.50, any violation below will drag the pair to 190.25/190/189.48/188.90.
Indicator (hourly chart)
CCI (14)- Bearish
CCI (50)- Bullish
Average directional movement Index - Neutral (strength below 20). All indicators confirm the mixed trend.
It is good to wait for confirmation.
