There' a "V-Top" pattern, so the pair is likely going to test the closest support at 1.3996 - 1.3979. Meanwhile, if a pullback...
GBP/JPY reversed from resistance zone
- GBP/JPY reversed from resistance zone
- Next sell target - 144.60
GBP/JPY recently reversed down from the powerful resistance zone lying between the multi-month resistance level 148.60 (which stopped the previous primary ABC correction ② in December, as can be seen from the daily GBP/JPY chart below), upper daily Bollinger Band and the 61.8% Fibonacci correction of the sharp downward impulse from last July.
GBP/JPY is expected to fall to the next sell target at the next support level 144.60 (previous resistance level from January, acting as support now after it was broke earlier).
We've got a bearish "High Wave", which has strong confirmation. In this case, the price is likely going to decline.
Growing concerns over Greek bailout, early elections in Italy and comments by the ECB President Mario Draghi about the need to maintain the bank’s extraordinary amount of monetary policy support…
The 144 Moving Average has acted as support, but there's a bearish "Engulfing' at the local high.