GBP/JPY Daily Analysis
The GBP/JPY’s intraday bias turned neutral after falling back from its peak of 165.99. While some consolidation may occur, the overall expectation is for a further rally as long as support at 161.18 remains intact. The previous corrective decline from 172.11 is believed to have ended at 155.33. If the 165.99 level is breached, the next targets would be resistance at 169.26 and then the high of 172.11.
Looking at the bigger picture, the medium-term corrective decline from 172.11 is believed to have ended at 155.33, with the 38.2% retracement of the 2020 low of 123.94 to the 2022 high of 172.11 remaining intact at 153.70. This suggests that the medium-term bullishness remains intact and the larger uptrend from 123.94 is still ongoing. At a later stage, a break of the 172.11 high is expected to resume the uptrend.
