[m.youssif]

With 132.96 resistance turned support intact, bullish outlook in GBP/JPY remains unchanged and rise from 122.40 is expected to resume sooner or later. Above 135.96 minor resistance will flip bias back to the upside for 139.99. Break will target 50% retracement of 163.05 to 122.40 at 142.72 next. However, sustained break of 132.96 will dampen this bullish view and turn focus to 130.17 support instead.

In the bigger picture, as noted before, choppy fall from 163.05 is treated as second leg of the consolidation pattern that started at 2009 low of 118.81. The break of medium term falling channel as well as 55 weeks EMA suggests that such decline has finished at 122.40 already. In other words, the third leg of the consolidation should have started and should target 163.05 and possibly above in medium term. On the downside, below 130.17 support is needed to invalidate this view. Otherwise, we'll now stay bullish in the cross.

[m.youssif]

With 132.96 resistance turned support intact, bullish outlook in GBP/JPY remains unchanged and rise from 122.40 is expected to resume sooner or later. Above 135.96 minor resistance will flip bias back to the upside for 139.99. Break will target 50% retracement of 163.05 to 122.40 at 142.72 next. However, sustained break of 132.96 will dampen this bullish view and turn focus to 130.17 support instead.

In the bigger picture, as noted before, choppy fall from 163.05 is treated as second leg of the consolidation pattern that started at 2009 low of 118.81. The break of medium term falling channel as well as 55 weeks EMA suggests that such decline has finished at 122.40 already. In other words, the third leg of the consolidation should have started and should target 163.05 and possibly above in medium term. On the downside, below 130.17 support is needed to invalidate this view. Otherwise, we'll now stay bullish in the cross.