Daily Pivots: (S1) 140.65; (P) 141.42; (R1) 141.88; More…

Focus is now on 140.31 support in GBP/JPY with today’s fall. Decisive break there should confirm short term topping at 142.34. Considering bearish divergence condition in 4 hour MACD, that would also be an early sign of reversal, after rejection by 142.71 key resistance. Intraday will will be turned back to the downside for 139.96 support next.

In the bigger picture, rise from 123.94 is seen as a rising leg of the sideway consolidation pattern from 122.75 (2016 low). As long as 147.95 resistance holds, an eventual downside breakout remains in favor. However, firm break of 147.95 will raise the chance of long term bullish reversal. Focus will then be turned to 156.59 resistance for confirmation.

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