Daily Pivots: (S1) 164.36; (P) 166.24; (R1) 167.30; More…
GBP/JPY’s break of 162.88 minor resistance suggests that deeper correction is underway. Intraday bias is now on the downside for 55 day EMA (now at 161.56). Sustained break there will target 155.57 support. On the upside, above 165.14 minor resistance will turn bias back to the upside for 168.67 again.
In the bigger picture, up trend from 123.94 (2020 low) is still in progress. Sustained break of 61.8% retracement of 195.86 (2015 high) to 122.75 (2016 low) at 167.93 will be a long term bullish signal, and could pave the way back to 195.86 high. This will now remain the favored case as long as 155.57 support holds, even in case of deep pull back.
