We have not seen any development in the last 24 hours. GBP/JPY remains locked in a narrow band from 128.14 to 130.23. As long as the short-term important resistance at 130.23 is able to cap the upside. A final dip to our ideal target at 127.93 still can be seen, but from here or upon a direct break above 130.23 and new long-term impulsive rally is expected.
In the medium-term, a break above resistance at 132.70 will confirm that a long-term low is in place and a new impulsive rally that ultimately should take us above 148.48 is developing.
R3: 131.62
R2: 130.73
R1: 130.23
Pivot: 129.60
S1: 128.87
S2: 128.49
S3: 128.09
Trading recommendation:
We will buy GBP at 128.05 or upon a break above 130.23
