FxWirePro: GBP/JPY Trade idea

• GBP/JPY has shown a massive recovery of almost more than 300 pips from the low of 143.19 made previous week. The pair’s jump was mainly due to easing political uncertainty in Italy as of now. GBP was trading higher and has recovered almost more than 150 pips. GBP recovered slightly in today’s trading after slightly better than expected UK construction PMI. USD/JPY has shown a good recovery of almost more than 150 pips from low of 108.12 (100- day MA) and is currently trading around 109.48. GBPJPY is currently trading around 146.38.
   
• The pair is facing strong resistance at 146.75 and any convincing break above will take the pair to next level till 147.35 (20- day MA)/148.
   
• On the lower side, near term major support is around 145.40 (200- H MA) and any convincing break below will drag the pair to next level till 144.90 (100- H MA)/144.

It is good to buy on dips around 145.90-146 with SL around 144.90 for the TP of 148.

Resistance

R1- 147
 

R2 –147.40
 

R3- 148

Support               
 

S1- 145.40
 

S2-144.90
 

S3-144