Overview
An outlook for the GBP/JPY pair remains unchanged. The price action at the level of 180.36 is viewed as a consolidation pattern. Strong resistance at 188.28 is expected to limit the upside to finish the consolidation. Below 183.86, a bias will change to downside in order to retest the level of 180.36 first. A breakout at 180.36 will extend the whole fall from 195.86 targeting to test the key support level at 174.86. GBP/JPY was close to key cluster resistance of 61.8% retracement of 251.09 to 116.83 at 199.80, which is close to the psychological level of 200. A breakout at 174.86 will confirm trend reversal and bring deeper fall to 38.2% retracement of 116.83 to 195.86 at 165.67. In case of another rise, we should be cautious as strong resistance at 199.80/200.00 can finally bring reversal.
