Daily Pivots: (S1) 165.40; (P) 166.15; (R1) 167.09; More…
GBP/JPY’s decline from 172.11 resumed by breaking through 163.02 support decisively. Intraday bias stays on the downside for 100% projection of 172.11 to 163.02 from 169.26 at 160.17. Firm break there will target 161.8% projection at 154.55 next. For now, outlook will stay bearish as long as 164.02 support turned resistance holds, in case of recovery.
In the bigger picture, sustained break of 55 week EMA (now at 161.26) will confirm medium term topping at 172.11, on bearish divergence condition in weekly MACD. Fall from 172.11 should be correcting whole up trend from 123.94 (2020 low). Deeper decline should be seen to 38.2% retracement of 123.94 to 172.11 at 153.70 and possibly below. This will now remain the favored case as long as 55 day EMA (now at 166.11) holds.
