Daily Pivots: (S1) 131.25; (P) 132.78; (R1) 134.33; More…
Intraday bias in GBP/JPY remains on the downside at this point. Further fall is expected for retesting 126.54 low. On the upside, break of 137.20 resistance, however, will indicate short term bottoming. Stronger rebound could then be seen to 55 day EMA (now at 139.89).
In the bigger picture, current development suggests that price actions from 122.75 (2016 low) are merely a sideway consolidation pattern. Larger down trend from 195.86 (2015 high) is not completed yet. Break of 126.54 should indicate that such down trend is resuming through 122.75 low.
