GBPJPY: The cross closed almost flat the past week (see weekly chart) after failing to follow through higher on the back of its previous week gains.Additionally, it printed a rejection candle on Thursday and followed through lower on Friday. This price action development leaves GBPJPY vulnerable to the downside as long as its trades and holds below the 188.25 level.
On the downside, support comes in at the 185.00 level where a violation will aim at the 184.00 level. A break below here will target the 183.00 level followed by the 182.00 level. Conversely, resistance is seen at the 187.00 level followed by the 188.00 level. A cut through will set the stage for a move further higher towards the 189.00 level where a break will aim at the 190.00 level. A cut through here will aim at the 191.00 level. All in all, the cross remains biased to the downside on price failure.
