Daily Pivots: (S1) 141.55; (P) 144.12; (R1) 145.51
GBP/JPY’s fall accelerated to as low as 139.72 so far today and met mentioned target of 50% retracement of 118.81 to 163.05 at 140.93 as expected. Intraday bias remains on the downside for the moment and sustained trading below 140.93 will pave the way to 61.8% retracement at 135.70 next. On the upside, above 143.15 minor resistance will turn intraday outlook neutral and bring consolidation. But recovery should be limited below 149.01 support turned resistance and bring fall resumption.
In the bigger picture, prior break of 146.75 key support completed a double top reversal pattern (162.56, 163.05). This affirms our view that medium term rise form 118.81, which is treated as correction the larger down trend from 07 high of 251.90, has completed at 163.05 already, after failing to sustain above 55 weeks EMA. Fall from 163.05 is tentatively treated as resumption of the long term down trend and should now target a new low below 118.81. On the upside, break of 153.22 is needed to invalidate this bearish view. Otherwise, outlook will remain bearish.