FxWirePro- GBPJPY Daily Outlook

GBPJPY trades higher for the second consecutive day on the weak yen. It hits an intraday high of 167.28 and is currently trading around 166.83.

GBPUSD- Trend- Bullish

The cable showed a minor decline after hitting a 5-month high of 1.2345. The latest S&P global/CIPS index came at 48.8 in Nov in line with the estimate, a decline below 50 for the second consecutive day. Any close below 1.2130 confirms further bearishness.

USDJPY- Bearish

The pair surged more than 300 pips after dovish comments from BOJ governor Kuroda. The easing Covid restrictions in China put pressure on safe-haven assets like the yen. It hits a high of 137.17 and is trading around 136.96. Any daily close above 137.55 confirms further bullishness.  Minor support is 133.60/131.65.

GBPJPY analysis-

The near-term support is around 166, a breach below targets 165/164/163. The immediate resistance is around 167.50, a jump above will take the pair to 169.10/170.

Indicators (4-hour chart)

CCI (50) – Bearish

ADX- Bearish

It is good to buy on dips around 166.30-35 with SL 165 for a TP of 169