FxWirePro- GBPJPY Daily Outlook

GBPJPY pared most of its gains made yesterday on the strong Yen. It hits an intraday low of 164.50 and is currently trading around 165.027.

GBPUSD- Trend- Bullish

Cable surged nearly 200 pips after a less hawkish Fed chairman speech. He said that Fed could slow the pace of rate hikes in December and it has a "long way to go" in bringing inflation down.

Any daily close above 1.2100 (200-day MA) confirms further bullishness. Minor resistance to watch- 1.2160/1.2300.

USDJPY- Bearish

The pair hits a 12-week low on hawkish comments from BOJ policymaker. It hits a low of 135.82 and is trading around 136.51. Any violation below 135 confirms further bearishness.  Minor resistance is 137/138.25.

GBPJPY analysis-

The near-term support is around 164.50, a breach below targets 163.67/163. The immediate resistance is around 165.50, a jump above will take the pair to 166.30/167/167.50/169.10/170.

Indicators (4-hour chart)

CCI (50) – Bearish

ADX- Bearish

It is good to sell on rallies around 165.45-50 with SL 166.20 for a TP of 163.