Overview
Intraday bias in GBP/JPY remains neutral with focus on the 187.36 resistance. Firm break there will argue that fall from 195.86 has completed. More importantly, this will be a signal that a larger uptrend is resuming. Meanwhile, below 183.87 minor support will turn focus back to 180.36 instead. This is supported by bearish divergence condition in the weekly MACD. Besides, GBP/JPY was close to key cluster resistance of the 61.8% retracement of 251.09 to 116.83 at 199.80, which is close to the 200 psychological level. A break of 174.86 will confirm a trend reversal and bring deeper a fall to the 38.2% retracement of 116.83 to 195.86 at 165.67. In case of another rise, we will be cautious of strong resistance from 199.80/200.00 to bring a reversal finally.
The material has been provided by InstaForex Company - www.instaforex.com