Daily Pivots: (S1) 164.09; (P) 164.92; (R1) 165.35; More…
GBP/JPY’s break of 163.91 support suggests that corrective pattern from 168.40 is extending with another falling leg. Intraday bias is back on the downside for 159.42 support. But downside should be contained there to bring rebound. Firm break of 169.91 will resume larger up trend. However, break of 159.42 support will now be a sign of bearish reversal and target 155.57 support next.
In the bigger picture, up trend from 123.94 (2020 low) is still in progress. Sustained break of 61.8% retracement of 195.86 (2015 high) to 122.75 (2016 low) at 167.93 will be a long term bullish signal, and could pave the way back to 195.86 high. This will remain the favored case as long as 155.57 support holds, even in case of deep pull back.
