Forex Analysis: GBP/JPY Classic Technical Report 12.11.2012
Prices put in a bearish Dark Cloud Cover candlestick pattern below resistance at 132.75, the March 30 close, hinting a move lower is ahead. Negative RSI divergence reinforces the case for a downside scenario. Initial support is at 131.45, with a break below that aiming for a formerly broken channel top now at 130.74. Alternatively, a push above resistance initially targets 131.48.
Daily Chart - Created Using FXCM Marketscope 2.0
--- Written by Ilya Spivak, Currency Strategist for Dailyfx.com
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