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FxWirePro:GBPJPY trades lower as UK GDP came weaker than expected, good to buy above 142.60

GBPJPY is consolidating after forming a minor bottom at 141.12 level. The pair jumped till 142.55 at the time of writing and is currently trading around 142.50. JPY was trading weak against all majors especially with USD and has broken major resistance 110.16 high made on Feb 4th . GBP was trading weak after release of UK GDP and manufacturing production data. The pair hits low of 142.08 at the time of writing and is currently trading around 142.26.

 

UK prelim GDP came at 0.2% compared to 0.6 in the third quarter and economy shrank by 0.4% worse than expected. UK manufacturing production m/m came at -0.7% compared to estimate of 0.2%.

 

Technically the pair is facing strong resistance around 142.60-62 (200- H MA) and any violation above targets 143/143.55.

 

On the lower side, near term support is around 142 and any break below will drag the pair to next level till 141.70/141.15/140.

 

It is good to buy above 142.60 with SL around 142 for the TP of 144.15.

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