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FxWirePro- GBPJPY Daily Outlook

GBPJPY declined sharply by more than 300 pips within a few minutes as BOJ intervenes. The central bank has kept its rates unchanged at -0.10 as expected. The yen gained strength after BOJ Governor Kanda said that the Central bank planning to intervene in Fx markets if necessary.  USDJPY pared most of its gains after hitting 24 year high of 145.90. Markets eye BOE for further direction. Technically  4-hour chart holds below short-term 55-EMA, 21 EMA, and long-term 200 EMA (163.45). Any convincing break below 160 will take the pair to the next level 159/157.80/156. GBPJPY hits an intraday low of 159.75 and is currently trading around 159.67.

 

 The near-term resistance is around 160.80, a breach above targets 161.49/162.50.

 

 Indicators (4-hour chart)

 

CCI (50) – Bearish

 

ADX-  Bullish

 

It is good to sell on rallies around 161.50-55 with SL around 162.50 for TP of 157.98.

 

 

 

 

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