Daily Pivots: (S1) 137.55; (P) 138.03; (R1) 138.54; More…
Intraday bias in GBP/JPY remains mildly on the downside for the moment. Choppy decline from 144.77 would target 136.44 support and below. But we’d expect support from 50% retracement of 122.36 to 148.42 at 135.39 to contain downside and bring rebound. On the upside, break of 139.39 minor resistance will turn bias to the upside and send GBP/JPY through 142.79 resistance. Overall, price actions from 148.42 are forming a consolidation pattern.
In the bigger picture, price actions from 122.36 medium term bottom are still seen as a corrective pattern. Main focus is on 38.2% retracement of 195.86 to 122.36 at 150.42. Rejection from there will turn the cross into medium term sideway pattern. Or, sustained break of 50% retracement of 122.36 to 148.42 at 135.39 will turn outlook bearish for a test on 122.36 low. Though, sustained break of 150.42 will extend the rebound towards 61.8% retracement of 195.86 to 122.36 at 167.78.
