Daily Pivots: (S1) 193.21; (P) 195.83; (R1) 197.37; More…
Intraday bias in GBP/JPY stays on the downside despite today’s weak recovery. Prior break of 55 D EMA (now at 195.23) argues that corrective rise from 180.00 has completed with three waves up to 199.79, after hitting rising channel resistance. Further decline would be seen to 193.45 resistance turned support. Decisive break there will target 183.70 next. For now, risk will stay on the downside as long as 198.43 resistance holds, in case of recovery.
In the bigger picture, price actions from 208.09 are seen as a correction to whole rally from 123.94 (2020 low). The range of consolidation should be set between 38.2% retracement of 123.94 to 208.09 at 175.94 and 208.09. However, decisive break of 175.94 will argue that deeper correction is underway.
 argues that corrective rise from 180.00 has completed with three waves up to 199.79, after hitting rising channel resistance. Further decline would be seen to 193.45 resistance turned support. Decisive break there will target 183.70 next. For now, risk will stay on the downside as long as 198.43 resistance holds, in case of recovery.){kind=link}