Daily Pivots: (S1) 151.77; (P) 152.17; (R1) 152.40; More…
GBP/JPY drops notably today but stays in range of 151.14/153.42. Intraday bias remains neutral at this point. On the downside, firm break of 151.14 will suggest that rebound form 148.43 has completed. Intraday bias will be turned back to the downside for retesting 148.43 low. On the upside, break of 153.42/46 resistance will reaffirm the case that correction from 156.05 has completed at 148.43. Intraday bias will be back on the upside for retesting 156.05.
In the bigger picture, rise from 123.94 is seen as the third leg of the pattern from 122.75 (2016 low). Focus remains on 156.59 resistance (2018 high). Sustained break there should confirm long term bullish trend reversal. Next target is 61.8% retracement of 195.86 (2015 high) to 122.75 at 167.93. On the downside, sustained break of 149.03 support, however, will indicate rejection by 156.59. Fall from 156.05 would be at least correcting the whole rise from 123.94. Deeper fall would be seen back to 142.71 resistance turned support first.
