GBP/JPY Technical Analysis- Prices are testing below support at 142.88, the 50% Fibonacci retracement, with a break lower exposing the 38.2% level at 141.69. Overall positioning may be carving out a Head and Shoulders top chart formation, but confirmation will be needed on close beneath the pattern’s neckline (now at 138.65) to validate the setup. Near-term resistance is at 144.08, the 61.8% Fib, with a reversal above that eyeing the 76.4% retracement at 145.56.

Daily Chart - Created Using FXCM Marketscope 2.0

--- Written by Ilya Spivak, Currency Strategist for Dailyfx.com

To contact Ilya, e-mail ispivak@dailyfx.com. Follow Ilya on Twitter at @IlyaSpivak

To be added to Ilya's e-mail distribution list, please CLICK HERE

New to FX? Watch this Video. For live market updates, visit the Real Time News Feed

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.
Learn forex trading with a free practice account and trading charts from FXCM.