Daily Pivots: (S1) 139.80; (P) 140.36; (R1) 140.75; More…
Intraday bias in GBP/JPY stays neutral first. Further rise is in favor with 139.36 support intact. Firm break of 141.50 will resume rise from 126.54 and target trend line resistance (now at 143.88). However, break of 139.36 will turn bias to the downside for deeper pull back to 135.74 resistance turned support.
In the bigger picture, consolidation pattern from 122.75 (2016 low) is still in progress with rise from 126.54 as the third leg. Further rise should be seen back to 148.87/156.59 resistance zone. For now, we’d expect strong resistance from there to limit upside. And, this will remain the favored case as long as 135.74 resistance turned support holds.
