[m.youssif]

GBP/JPY




With 4 hours MACD staying below signal line, a temporary top is in place at 132.96 and intraday bias is turned neutral. Focus will remain on 135.48 resistance level. As long as 135.48 holds, there is no confirmation of trend reversal and thus, we'd favor a downside break of 122.40 after having some sideway consolidations first. Below 130.44 minor support will flip intraday bias back to the downside for 122.40 and below.

In the bigger picture, note that GBP/JPY is still limited below 55 weeks EMA and thus, call from 163.05 is possibly still in progress. As discussed before, such decline is treated as the second leg of the consolidation pattern that started at 118.81 (2009 low). Hence, while deeper decline would be seen, strong support is expected around 118.81 low to conclude such decline and bring another medium term rise to extend the consolidation from 118.81. However, break of 135.48 resistance is needed to be the first signal of reversal or we'll stay bearish. Meanwhile, Decisive break of 118.81 will in turn confirm long term down trend resumption for 100 psychological level.

[m.youssif]

GBP/JPY




With 4 hours MACD staying below signal line, a temporary top is in place at 132.96 and intraday bias is turned neutral. Focus will remain on 135.48 resistance level. As long as 135.48 holds, there is no confirmation of trend reversal and thus, we'd favor a downside break of 122.40 after having some sideway consolidations first. Below 130.44 minor support will flip intraday bias back to the downside for 122.40 and below.

In the bigger picture, note that GBP/JPY is still limited below 55 weeks EMA and thus, call from 163.05 is possibly still in progress. As discussed before, such decline is treated as the second leg of the consolidation pattern that started at 118.81 (2009 low). Hence, while deeper decline would be seen, strong support is expected around 118.81 low to conclude such decline and bring another medium term rise to extend the consolidation from 118.81. However, break of 135.48 resistance is needed to be the first signal of reversal or we'll stay bearish. Meanwhile, Decisive break of 118.81 will in turn confirm long term down trend resumption for 100 psychological level.