Daily Pivots: (S1) 145.73; (P) 146.60; (R1) 147.20; More…
GBP/JPY’s decline is still in progress and reaches as low as 145.62 so far. Intraday bias remains on the downside for 143.51 medium term fibonacci level next. On the upside, above 147.47 minor resistance will turn intraday bias neutral first. But outlook will remain bearish as long as 150.92 resistance holds, in case of recovery.
In the bigger picture, the case for medium term reversal continues to build up on loss of medium term momentum as seen in weekly MACD. Also, firm break of 146.96 should now indicate rejection by 55 month EMA (now at 154.60) and add to that case of reversal. Deeper fall would be seen to 38.2% retracement of 122.36 to 156.59 at 143.51 and then 61.8% retracement at 135.43. This will now be the preferred case as long as 150.92 resistance holds.
