Morning Report

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The GBP/JPY pair is trapped within a tight range since yesterday, but it succeeded in forming an obvious bearish candlestick formation, seen on the provided four-hour chart, where it also activated a negative crossover on Stochastic. Thus, nothing changed the bigger weekly outlook of the Elliott count and potential downside actions could be seen on the intraday basis.

The trading range for the week is among key support at 131.60 and key resistance at 139.10.

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

Weekly Report Previous Report

Support135.00134.60133.90133.60132.90
Resistance135.50136.20136.95137.40138.40
RecommendationBased on the charts and explanations above our opinion is, selling the pair from 135.50 targeting 133.60 and stop loss above 136.95 might be appropriate.