FXstreet.com (Barcelona) - The Pound is going through a corrective reaction and it has dropped around 400 pips after rejection at 141.71 on Feb 26, and the Pair is struggling at the moment with support level at 137.70 Feb 25 low.

Despite negative Japanese macroeconomic data, the Yen seems to be enjoying some renewed strength on profit taking, plus, a corrective move after two weeks of continuous rally looks rather logical.

On the Hourly chars, the pair seems into a bearish momentum and trying to break support at 1.3770, to enter the area towards support level at 136.25, once below there, support level at 135.30 (Feb 20 high) could come into play. On the Upside, bouncing up from 1.3770 could drive to a test to 138.60 and above there, 139.85 and 140.35.