FX.co ★ GBP/JPY: deeper drop activated

GBP/JPY Drops Like A Rock!

The GBP/JPY pair crashed and now is located at 181.29 at the time of writing. As you can see on the H1 chart, the rate drops within a down-channel pattern. As long as it stays below the downtrend line, the price could extend its drop.

Escaping from the previous up channel announced a potential downward movement. The former low of 181.40 represents a downside obstacle. Now it is challenging this level.

GBP/JPY Trading Conclusion!

Dropping and stabilizing above 181.40 activates more declines. This scenario could help the sellers to catch a larger drop. The down channel's downside line represents a potential target.