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Daily analysis of GBP/JPY for August 07, 2015

GBPJPYH4.png

Overview

According to the shown H4 chart, below the 190.99 support bias will be turned back to the downside for 184.95 and possibly further to the 61.8% retracement of 174.86 to 195.86 at 182.88. In the bigger picture, the uptrend from 116.83 is still in progress and would target 61.8% retracement of 251.09 to 116.83 at 199.80, which is close to 200 psychological level. The medium-term momentum is not too convincing with bearish divergence condition in the weekly MACD. We'd be cautious in the medium term topping around 200 and bringing a deep correction. Meanwhile, a break of 174.86 will suggest that the trend has reversed earlier than we expect.

Daily Pivots: (S1) 192.00; (P) 193.58; (R1) 194.01

The material has been provided by InstaForex Company - www.instaforex.com