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Daily analysis of GBP/JPY for December 25, 2015

GBPJPYH4.png

Overview

The decline from 188.79 continued last week even though downside momentum was unconvincing. A further fall is expected this week as long as resistance level is at 186.33. As noted before,a consolidation pattern from 180.36 has completed at 188.79 and a deeper decline should be seen back to the 180.36/64 support zone. Nonetheless, a break of the 186.33 minor resistance would now dampen our bearish view and turn focus back to 188.79. In a long-term perspective, the uptrend from the 116.83 long term bottom could be topping. There is no confirmation yet, but even is case of another rise, a strong resistance would now likely be seen near 61.8% retracement of 251.09 to 116.83 at 199.80.

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