GBP/JPY Daily Outlook

GBP/JPY Daily Outlook

Daily Pivots: (S1) 152.69; (P) 153.58; (R1) 154.17; More....

With 4 hours MACD crossed below signal line, a temporary top is formed and intraday bias is turned neutral. Nonetheless, as long as 150.74 holds, further rally is still expected. Above 154.78 will extend the larger up trend to 100% projection of 125.67 to 147.97 from 140.37 at 162.67.

In the bigger picture, medium term fall from 163.05 has completed at 116.83 already. It's a bit early to conclude reversal of the long term down trend from 251.09 (2007 high). But rise from 116.83 should at least be a move at the same degree as fall from 163.05. Thus, medium term rise is now expected back to 163.05. We'll stay bullish as long as 140.37 support holds.