[m.youssif]

Intraday bias in GBP/JPY remains neutral and more consolidations from 139.99 short term top would be seen. Nevertheless, downside is expected to be contained above 132.96 resistance turned support and bring rally resumption. On the upside above 139.99 will target 50% retracement of 163.05 to 122.40 at 142.72 next.

In the bigger picture, as noted before, choppy fall from 163.05 is treated as second leg of the consolidation pattern that started at 2009 low of 118.81. The break of medium term falling channel as well as 55 weeks EMA suggests that such decline has finished at 122.40 already. In other words, the third leg of the consolidation should have started and should target 163.05 and possibly above in medium term. On the downside, below 130.17 support is needed to invalidate this view. Otherwise, we'll now stay bullish in the cross.

[m.youssif]

Intraday bias in GBP/JPY remains neutral and more consolidations from 139.99 short term top would be seen. Nevertheless, downside is expected to be contained above 132.96 resistance turned support and bring rally resumption. On the upside above 139.99 will target 50% retracement of 163.05 to 122.40 at 142.72 next.

In the bigger picture, as noted before, choppy fall from 163.05 is treated as second leg of the consolidation pattern that started at 2009 low of 118.81. The break of medium term falling channel as well as 55 weeks EMA suggests that such decline has finished at 122.40 already. In other words, the third leg of the consolidation should have started and should target 163.05 and possibly above in medium term. On the downside, below 130.17 support is needed to invalidate this view. Otherwise, we'll now stay bullish in the cross.