GBP/JPY may fall 82 - 114 pips

205.98 is our pivot point.

Our preference

The downside prevails as long as 205.98 is resistance.

Alternative scenario

The upside breakout of 205.98, would call for 206.52 and 206.84.

Comment

The RSI is below its neutrality area at 50. The MACD is below its signal line and negative. The configuration is negative. Moreover, the price is trading under both its 20 and 50 period moving average (respectively at 205.84 and 205.65). Finally, the GBP/JPY is trading below its lower Bollinger band (standing at 205.52).

Supports and resistances

206.84 **

206.52 *

205.98 **

205.77

205.49 last

204.67

204.35 **

204.03 *

203.71 **

Number of asterisks represents the strength of support and resistance levels.