The GBP/JPY pair continues to show a neutral bias for the day with a bearish outlook as long as the resistance at 190.48 remains intact. If the price falls below the minor support level of 183.10, we may see a retest of the 180.00 mark initially, with a potential further decline to the support at 178.32.
However, a significant breakthrough above the resistance at 190.48 would indicate a possible short-term bottoming and could lead to a stronger rebound in the near future.
Looking at the bigger picture, the medium-term decline from the top at 208.09 is viewed as a correction to the uptrend from the low of 123.94 in 2020. The overall trend suggests a further decline as long as the 55-week EMA (currently at 189.31) holds. There is a possibility of strong support between the levels of 178.32 and the 38.2% retracement of the range from 123.94 to 208.09 at 175.94, which could potentially lead to a rebound in the future.
On the other hand, a sustained trading above the 55-week EMA would indicate that the range for the medium-term corrective pattern has already been established, suggesting a more stable outlook for the pair in the coming weeks.
In summary, the GBP/JPY pair is currently maintaining a neutral bias for the day with a bearish outlook in the near term. Traders should keep a close eye on the key resistance and support levels mentioned above to gauge the potential direction of the pair in the days ahead.
