FxWirePro: GBP/NZD downside pressure is building, chances of a bigger collapse to key fibo support grows
FxWirePro- GBPJPY Daily Outlook
Ichimoku Analysis (4-Hour Chart)
GBPJPY is trading flat after a minor pullback till 155.15 yesterday. Markets eye UK Bank of England monetary policy data for further direction. The Central bank is expected to keep the bond-buying program unchanged. Investors await comments on the recent surge in inflation above their 2% target. The UK flash manufacturing PMI declined to 64.2 in June slightly above the estimate of 64.1. GBPUSD is struggling to hold above 1.4000 levels. Any breach past targets 1.4010. USDJPY is hovering near a fresh yearly high on the strong US dollar. GBPJPY hits an intraday high of 155.04 and is currently trading around 154.803.
The pair's near-term resistance around 155.15, any break above confirms intraday bullishness. A jump till 155.50/156.10. Major trend reversal only if it breaks 156.60. On the lower side, near-term support is around 154.50. Any indicative violation below that level will drag the pair down to 154/153/152/151.30. Significant trend reversal only if it breaks below 147.40.
Ichimoku Analysis- The pair is trading above 4-Hour Kijun-Sen, Tenken-Sen, cloud.
Indicator (4-Hour chart)
CAM indicator- Neutral
Directional movement index –Neutral
It is good to buy on dips around 154.55-60 with SL around 153.90 for TP of 156.60.