The GBP/JPY pair has formed a clear negative divergence, seen on Stochastic indicator, that might confirm the proposed downside actions over intraday basis. This potential negative scenario is based on our detected Elliott count, as the IM (impulsive) wave should be completed via forming the fifth wave.
The trading range for the week is among key support at 140.00 and key resistance at 148.60.
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 144.60 targeting 142.25 and stop loss above 146.80 might be appropriate.|