The GBP/JPY pair declined sharply, reaching the first objective of the short term bearish scenario at 148.35. Presently, it isre-testing the key resistance level of 150.60, while forming a Gap. We think that the mentioned gap is to be covered over the intraday basis around 149.30 zones. A breakwill confirm the potential downside continuation of the short term Elliott sequence. The secondary image shows that, a bearish engulfing candlestick pattern issupporting our overview.
Trading range for today is among key support at 145.50 and key resistance at 154.60.
The general trend is to the downside as far as 167.40 remains intact with target at116.00.
|Recommendation||Based on the charts and explanations above our opinion is, selling the pair from 150.60 targeting 148.70 and stop loss above 151.75 might be appropriate.|