GBP/JPY declined almost 140 pips yesterday from the high of 151.81 on uncertainty over Brexit negotiations. UK and EU failed to reach a deal in Brussels meeting. European Union has set deadline this week for presenting new proposals for the term of divorce. EU leaders are expected to agree on guide lines next week if enough progress is achieved on Brexit talks. The pair hits low of 150.47 and is currently trading around 150.65.
The pair has declined till 150.46 from the high of 152.94. It should break above 153 for further bullishness. Any convincing break above will take the pair to next level till 154/155.
The pair’s intraday weakness can be seen below 150.40 (55- 4H ) and any violation below will drag the pair to next level till 149.40 (233 4H MA)/149.25 ( of 146.95 and 152.94). Any break below 149 confirms minor weakness, a dip till 147 cannot be ruled out. The minor support is around 150.50.
GBP/JPY formed temporary top around 152.86 and started to decline from that level. Any short term bullishness above 152.86. Any convincing jump above the level will take the pair to next level till 154/155.
It is good to sell below 150.40 with SL around 151 for the TP of 149/147.