The GBP/JPY pair succeeded in achieving the expected bearishness yesterday, seen on the secondary four-hour chart. We still believe that additional downside movements could be witnessed over intraday basis, supported by the previous explained Elliott scenario. A break of 139.90 will confirm and accelerate the suggested negative scenario.
The trading range for the week is among key support at 135.50 and key resistance at 144.15.
The general trend is to the downside as far as 167.40 remains intact with target at116.00.
Support140.00139.25138.60137.90137.25Resistance141.00141.50142.25142.75143.45RecommendationBased on the charts and explanations above our opinion is, selling the pair with a breakout below 139.90 targeting 137.60 and stop loss above 141.60 might be appropriate.