GBP/JPY reverses a dip to sub-148.00 level as the BoE presser gets underway

   •  Dovish QIR-led GBP selling now seems to have abated for the moment.
   •  Carney says some tightening still needed over the forecast period.

The GBP/JPY cross nose-dived around 140-pips from session tops and momentarily dipped below the 148.00 handle post-BoE announcement. 

The cross struggled to build on this week's recovery move from 1-1/2 month lows and faced rejection near the very important 200-day SMA following a dovish tilt from the BoE. 

As the post-meeting presser got underway, the selling pressure abated and the cross quickly recovered around 50-pips from session lows after the BoE Governor Mark Carney was noted saying that modest tightening is still needed over the forecast period.

Currently trading around mid-148.00s, Carney's comments would drive August BoE rate hike expectations and eventually help investors determine the next leg of directional move for the British Pound.

Technical levels to watch

Any further recovery might continue to confront some resistance near the 149.00-15 region (200-DMA), above which the cross seems all set to aim towards reclaiming the key 150.00 psychological mark.

On the flip side, the 148.00-147.90 region now seems to have emerged as an immediate support, which if broken might turn the cross vulnerable to head back towards retesting the 147.00 handle.