The GBP/JPY pair dropped in the short term as the Japanese Yen Futures tried to rebound. It's located at 184.86 at the time of writing but a larger drop is far from being confirmed. The bias remains bullish as the Yen Futures could drop deeper anytime.
Surprisingly or not, the currency pair dropped, even though the UK reported positive data today. The GDP reported a 0.2% growth versus the 0.0% growth estimated and after the 0.1% growth in the previous reporting period. Furthermore, the Industrial Production, Index of Services, Goods Trade Balance, Construction Output, and Prelim GDP came in better than expected as well.
GBP/JPY Range!Technically, the GBP/JPY pair is trapped between 185.95 and 184.67 levels. As you can see, the rate found resistance at the ascending pitchfork's upper median line (uml) and now it has escaped from the pitchfork's body.
Still, the price could come back higher as long as it stays above the 184.67 and above the median line (ml) of the minor descending pitchfork.
GBP/JPY Outlook!A new lower low, bearish closure below 184.67 and under the median line (ml) activates more declines. This is seen as a selling opportunity.