Daily Pivots: (S1) 143.40; (P) 143.97; (R1) 144.68; More…
GBP/JPY recovered ahead of 142.76 but upside was limited below 4 hour 55 EMA. Further decline is still expected. Sustained break of 142.76 will pave the way to 139.29/47 key support zone. On the upside, break of 145.51 resistance is needed to indicate short term bottoming. Otherwise, outlook will remain cautiously bearish even in case of another recovery.
In the bigger picture, as long as 139.29 cluster support (50% retracement of 122.36 to 156.59 at 139.47) holds, up trend from 122.36 (2016 low) would still extend beyond 156.69 high. However, decisive break of 139.29/47 will suggest that such up trend is completed and turn outlook bearish. In that case, next target is 61.8% retracement at 135.43.
