GBP/JPY Daily Outlook

Daily Pivots: (S1) 143.69; (P) 144.64; (R1) 146.44; More…

GBP/JPY’s rebound from 139.88 is still in progress and reaches as high as 145.67 so far. Intraday bias stays on the upside for trend line resistance (now at 147.04). Firm break there will be a signal of bullish reversal and should target 149.30 resistance for confirmation. On the downside, below 143.65 minor support will turn intraday bias neutral first.

In the bigger picture, at this point decline from 156.59 is still seen as a corrective move. Focus remains on 139.29 cluster support (50% retracement of 122.36 to 156.59 at 139.47). Strong rebound from there will re-affirm the bullish case that rise from 122.36 is still to extend through 156.59 high. However, sustained break of 139.29/47 should confirm medium term reversal. GBP/JPY would then target a retest on 122.26 (2016 low).