GBP/JPY Daily Outlook
Daily Pivots: (S1) 168.06; (P) 168.56; (R1) 169.50; More.....
GBP/JPY drew some support from 4 hours 55 EMA again and recovered. But it's staying below 170.05 temporary top so far and intraday bias stays neutral first. Near term outlook will remain bullish as long as 165.86 support holds. Above 170.05 will target 161.8% projection of 147.61 to 159.98 from 156.63 at 173.72 next. However, break of 165.85 will indicate short term topping, on bearish divergence condition in 4 hours MACD and bring deeper pull back to 55 days EMA (now at 161.79).
In the bigger picture, there is no clear sign of topping and indeed, the cross might be building upside momentum again. We'd be cautious on resistance from 38.2% retracement of 251.09 to 116.83 at 168.11 to bring medium term topping. But sustained break there will pave the way to 50% retracement at 183.96 and above.