- GBP/JPY is below daily support and is compelling for the open.
- Bears will seek a downside extension, but there are bullish prospects to test old support first.
GBP/JPY is bullish for the open, but bearish on the long-term time frames.
The following is a top-down analysis that illustrates the upside bias, now the near term, vs the prospects of a
Daily chart
The daily chart is compelling in that the bears have broken old support.
On a restest of the structure, there are prospects of a downside continuation on failures to break higher.
4-hour chart
The 4-hour 21 EMA aligns as a confluence target with the 38.2% Fibo.
Hourly chart
Firth, the bulls will need to overcome the immediate resistance, but thereafter, the trajectory and targets are clear.
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