GBP/JPY Price Analysis: Consolidation underway, still vulnerable

• GBP/JPY is moving in a range between 149.80 and 150.60.
• The pound still shows some vulnerability to the downside, needs to recover above 150.60.

The GBP/JPY traded below 150.00, but it rose back above, holding firm to the current consolidation range, after the sharp slide from a multi-year high above 153.00 to 149.60.

The bias still favors the downside the area around 150.00 is becoming a strong support. A close below would clear the way for a test of the recent low at 149.60, and then to 149.45. Below the next support stands at 149.10.

A recovery above 150.60, the 20 simple moving average in four hours chart, would alleviate the bearish pressure and would open the doors for a test of 151.05/10 (horizontal resistance / previous uptrend line). Above 151.25 (20-day SMA), the outlook for the pound would improve.

GBP/JPY 4-hour chart