Morning report

Sterling versus Japanese yen collapsed, breaching the detected neckline of our daily double top formation andclosing below it. Now, the door is opened for further bearishness on the intraday basis and also the short term basis, targeting 137.55 first. AROON indicator alongside the daily negative structure of the candlesticks as seen on the secondary image supports our bearish scenario.

Trading range for today is among key support at 140.00 and key resistance at 150.50.

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

RecommendationBased on the charts and explanations above our opinion is, selling the pair from 145.25 targeting 142.75 and stop loss above 147.30 might be appropriate.