GBP/JPY technical analysis: Recent bullish momentum might have already run out of the steam
|- The overnight optimism led by the UK Supreme Court ruling turned out to be short-lived.
- A sustained break below 133.35 region should pave the way for a further near-term slide.
The GBP/JPY cross extended previous session's rejection slide from 200-hour SMA and remained under some selling pressure through the early European session on Wednesday.
The ongoing corrective slide from over two-month tops - marking the third day of a negative move in the previous four - has now dragged the cross back towards the 133.35 horizontal zone.
The mentioned region coincides with 23.6% Fibonacci retracement level of the 126.67-135.75 move up and should now act as a key pivotal point for the pair's next leg of a directional move.
Meanwhile, oscillators on hourly charts have struggled to recover from the bearish territory and have also started losing positive momentum on the daily chart, suggesting further downside.
Sustained weakness below the mentioned support will reinforce the negative outlook and accelerate the slide towards the 133.00 handle en-route 38.2% Fibo. level support near the 32.30-25 region.
On the upside, the 134.00 round-figure mark now becomes immediate resistance and any subsequent up-move might continue to confront some fresh supply near 200-hour SMA - around mid-134.00s.
Above the said resistance levels, the cross is likely to aim towards conquering the key 135.00 psychological mark before eventually aiming towards the recent swing highs near the 135.75 region.
GBP/JPY 1-hourly chart
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