GBPJPY: Follows through Lower, Bears Target The 126.53 Level

With GBPJPY selling off and following through lower on the back of its Friday losses, the risk is for it to weaken further towards its key support located at the 126.53 level. Further down, support lies at the 125.45 level followed by the 124.50 level and then the 122.02 level, its Jan 25'2012 high. Its daily RSI is bearish and pointing lower suggesting further declines. Alternatively, the cross will have to break and hold above the 133.46 level to put on hold its present downside and trigger further gains. A cut through there will call for a run at the 135.09 level. Further upside offensive above here will call for a run at 136.97 level and subsequently its April'2011 high at 139.99. All in all, the cross remains biased to the downside as it looks to weaken further.