GBP/JPY Technical Analysis: Bearish continuation pattern spotted on hourly charts

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   •  The cross extended its sideways consolidative price action and remained well within the striking distance of near two-week lows, forming a rectangular chart pattern on hourly charts.

   •  Given last week’s break below 2-1/2-month-old ascending trend-line support, the rectangle might still be categorized as a continuation pattern and marks a pause in the recent bearish trend.

   •  Meanwhile, technical indicators on 4-hourly/daily charts maintained their mildly bearish bias and support prospects for further near-term depreciating move amid renewed Brexit jitters.

   •  A convincing break below 50-day SMA support near mid-144.00s will reinforce the bearish outlook and turn the pair vulnerable to accelerate the downfall towards 143.75-70 support zone.

GBP/JPY 4-hourly chart

 

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