Morning Report

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gbpjpy

The pair declined and breached 131.55 closing below 131.35, thereby forming the bearish pattern shown above. The breach of the ascending channel's support -shown in green- was confirmed extending the downside wave and targeting 130.00, which might further expand due to theaffect of the bearish formation. Stochastic is in oversold areas which might increase the volatility affecting intraday trading.

The trading range for today is among key support at 128.80 and key resistance at 134.30.

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

Support131.55131.25130.80130.00129.30Resistance132.10132.50133.05133.60134.30RecommendationBased on the charts and explanations above, our opinion is selling the pair around 131.55 targeting 129.30 and stop loss with four-hour closing above 132.10 might be appropriate.