Daily Pivots: (S1) 131.35; (P) 132.21; (R1) 132.81; More…
Intraday bias in GBP/JPY remains on the downside. Firm break of 131.51 low will resume larger decline from 156.69 for 122.36 next. On the upside, above 133.07 minor resistance will turn intraday bias neutral for consolidation first. Recovery should be limited below 135.66 resistance to bring fall resumption.
In the bigger picture, medium term fall from 156.59 (2018 high) is still in progress. Break of 131.51 will target 122.36 (2016 low). Structure of such decline is corrective looking so far, arguing that it’s just the second leg of consolidation from 122.36. Thus, we’d expect strong support from 122.36 to contain downside to bring reversal.
