Daily Pivots: (S1) 150.40; (P) 151.12; (R1) 151.66; More…
Intraday bias in GBP/JPY remains mildly on the downside at this point. Correction from 152.52 short term top could extend to 148.09 cluster support ( 23.6% retracement of 133.03 to 152.52 at 147.92). But downside should be contained there to bring rebound. Nevertheless, for now, risk will stay mildly on the downside for more pull back as long as 152.52 holds, in case of recovery.
In the bigger picture, rise from 123.94 is seen as the third leg of the pattern from 122.75 (2016 low). Next target is 156.59 resistance (2018 high). Sustained break there should confirm long term bullish trend reversal. On the downside, break of 142.71 resistance turned support is needed to be the first sign of completion of the rise from 123.94. Otherwise, outlook will remain bullish even in case of deep pull back.
