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The GBP/JPY pair increased a little in the short term but it has failed to stay above the 164.00 psychological level or to approach and reach the broken uptrend line signaling exhausted buyers and strong sellers. Technically, dropping below the uptrend line signaled that the upside movement (uptrend) ended and that the sellers could take the lead and drag the rate down.
The 161.56 former low stands as a downside obstacle. As long as it stays above it, the currency pair could move sideways before resuming its growth. Only dropping below this level activates a downside reversal.
Dropping below 161.56 activates more declines (deeper drop). This scenario is seen as a selling opportunity as well.
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