Daily Pivots: (S1) 139.44; (P) 139.85; (R1) 140.26; More…
GBP/JPY is staying in consolidation from 141.50 and intraday bias remains neutral at this point. Deeper fall cannot be ruled out. But downside should be contained above 135.74 resistance turned support to bring rebound. On the upside, break of 141.50 will resume the rise from 126.54 to for 148.87 key resistance.
In the bigger picture, consolidation pattern from 122.75 (2016 low) is still in progress with rise from 126.54 as the third leg. Further rise should be seen back to 148.87/156.59 resistance zone. For now, we’d expect strong resistance from there to limit upside. And, this will remain the favored case as long as 135.74 resistance turned support holds.
