Morning report


The secondary four-hour chart confirms our previous expectation that, the GBP/JPY is forming the CD leg for theproposed harmonic [BAT] pattern. Stochastic has already overlapped negatively while RSI 14 is trending downwards . Hence we keep our potential bearish outlook on the intraday basis. Only a break of 153.20 will damage this short term scenario.

Trading range for today is among key support at 143.60 and key resistance at 154.60.

The general trend is to the downside as far as 167.40 remains intact with target at116.00.

RecommendationBased on the charts and explanations above our opinion is, selling the pair from 150.00 targeting 147.40 and stop loss above 152.00 might be appropriate.