Daily Pivots: (S1) 132.62; (P) 133.25; (R1) 134.49; More…
GBP/JPY failed to break through 131.98 minor resistance despite recovery. Intraday bias remains neutral first and further fall is in favor. On the downside, break 131.68 will resume the decline from 139.73 for 129.27 support. Decisive break there will confirm completion of rebound from 123.94. Deeper fall would be seen to retest 123.94 low. Nevertheless, firm break of 133.98 will now indicate short term bottoming and turn bias back to the upside for 136.34 resistance first.
In the bigger picture, we’re seeing price actions from 122.75 (2016 low) as a sideway consolidation pattern. As long as 147.95 resistance holds, an eventual downside breakout remains in favor. However, firm break of 147.95 will raise the chance of long term bullish reversal. Focus will then be turned to 156.59 resistance for confirmation.
