Morning Report

gbpjpy

We can see that the sideways wave has prevailed over four-hour basis; nonetheless, the pair traded below the ascending support shown above. At the same time, we can see that the descending channel has been confirmed and the pair is currently trading around its major support that may increase the volatility and push the pair to the upside, which is why we preserve yesterday's neutral stance due to our expectations for the projected upside move to be capable of carrying the pair above the main ascending support yet so far the descending channel is the one controlling the movement. Note that stability below 132.50 will cause the projected upside move to fail and take the pair strongly to the downside.

The trading range for today is among key support at 130.50 and key resistance at 136.80.

The general trend over short term basis is to the downside targeting118.80as far as areas of 150.75 areas remain intact.

Previous Report

Weekly Report

Support133.05132.50131.60131.25130.50Resistance134.10134.80135.50136.20136.80RecommendationBased on the charts and explanations above we remain neutral until further confirmations are provided for the upcoming move