GBP/JPY may fall 138 - 206 pips

Our pivot point is at 185.90.

Our preference

The downside prevails as long as 185.90 is resistance.

Alternative scenario

Above 185.90, look for 187.05 and 187.73.

Comment

The RSI is below 50. The MACD is below its signal line and negative. The configuration is negative. Moreover, the price stands below its 20 and 50 period moving average (respectively at 185.33 and 185.79). Finally, the GBP/JPY is trading below its lower Bollinger band (standing at 184.81).

Supports and resistances

187.73 **

187.05 *

185.90 **

185.45

184.72 last

183.34

182.66 **

181.98 *

181.30 **

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