FxWirePro: GBPJPY Daily Outlook

Ichimoku Analysis (4-Hour Chart)

Tenken-Sen- 139.83

Kijun-Sen- 140.41                            

GBPJPY surged sharply after forming a minor bottom near 139.50. The jump was mainly due to strength in the Pound sterling.  GBPUSD regained 1.3600 level and hits multi-month high after cautiously optimistic view by UK PM Boris Johnson. Markets eye US Georgia by-election results for further up move.  The chance of Democrats to win two races is high.  Major economic data to be watched are BOE Bailey and UK final services PMI data.  The intraday trend of GBPJPY is neutral as long as support 139.60 holds.

Technical:

 The pair's significant resistance at 140.62, any indicative break above targets 141.20/142/142.70. Significant trend continuation only if it goes past 142.70. On the lower side, near term support is around 139.60, and any violation below targets 139/137.95/137.19/136.75.

It is good to buy on dips around 140.15-20 with SL around 139.50 for the TP of 142.70.