GBP/JPY Daily Outlook

Daily Pivots: (S1) 142.34; (P) 143.00; (R1) 143.94; More…

Intraday bias in GBP/JPY remains mildly on the upside at this point. Corrective fall from 147.95 should have completed at 141.15. Further rise would be seen back to retest 147.95 high. On the downside, break of 141.15 will target 38.2% retracement of 126.54 to 147.95 at 139.77.

In the bigger picture, rise from 126.54 could either be the third leg of the consolidation pattern from 122.75 (2016 low), or the start of a new up trend. In either case, further rally is expected as long as 139.31 support holds, into 148.87/156.59 resistance zone. Reaction from there should reveal which case it should be in. Rejection from there will extend long term range trading. Decisive break of 156.69 will carry long term bullish implications.