Daily Pivots: (S1) 136.33; (P) 136.86; (R1) 137.46; More…
A temporary top is formed at 137.39 in GBP/JPY with 4 hour MACD crossed below signal line. Intraday bias is turned neutral for some consolidations first. On the upside, break of 137.39 will extend the whole rebound from 123.94 to 100% projection of 123.94 to 135.74 from 129.27 at 141.07. Though, break of 134.41 will turn bias back to the downside for 129.27 support instead.
In the bigger picture, overall, price actions from 122.75 (2016 low) are seen as a sideway consolidation pattern. Current development suggests that it might extend with another rising leg. But still, an eventual downside break out is expected as long as 147.95 resistance holds. Firm break of 122.75 will resume larger down trend from 195.86 (2015 high).
