GBP/JPY Daily Analysis
The intraday bias for GBP/JPY is currently neutral, and the consolidation from the temporary low of 158.54 may continue. However, recent developments indicate that the drop from 165.99 is part of the overall decline from 172.11, and a deeper decline is expected as long as the resistance at 164.12 holds. If 158.54 is broken, the next target will be a retest of the low at 155.33.
Looking at the bigger picture, as long as the retracement of 38.2% from 123.94 (2020 low) to 172.11 (2022 high) at 153.70 remains intact, the medium-term bullishness is maintained. This means that the larger upward trend from 123.94 (2020 low) is still in progress. A break of the high at 172.11 to resume this upward trend is expected at a later stage.
