GBP/JPY Daily Outlook

Daily Pivots: (S1) 151.14; (P) 151.55; (R1) 152.02; More…

Intraday bias in GBP/JPY stays mildly on the upside for retesting 152.52 high. Break there will resume whole up trend from 123.94. Next target is 156.59 long term resistance. In case the consolidation extends with another fall, we’d continue to expect strong support from 148.09 cluster support ( 23.6% retracement of 133.03 to 152.52 at 147.92) to contain downside and bring rebound.

In the bigger picture, rise from 123.94 is seen as the third leg of the pattern from 122.75 (2016 low). Next target is 156.59 resistance (2018 high). Sustained break there should confirm long term bullish trend reversal. On the downside, break of 142.71 resistance turned support is needed to be the first sign of completion of the rise from 123.94. Otherwise, outlook will remain bullish even in case of deep pull back.