GBP/JPY Price Analysis: Bearish correction looking to extend under 149.50

• GBP/JPY drops to test last week's lows amid a weaker pound across the board.
• A consolidation under 149.65 would clear the way to more losses.

The GBP/JPY bottomed at 149.42 on Thursday, and then it rose back above the 149.60 area, keeping losses limited. A consolidation below 149.60 would clear the way to more losses, initially targeting the 149.00/10 zone.

The pound needs to hold above 149.60 to avoid deterioration in the already negative technical outlook. The MACD and oscillators point to weakness ahead.

An immediate resistance is seen at 150.20 while above at 150.60/70, a more relevant technical level is seen. The mentioned area consists of a horizontal resistance and also the 21-SMA in the four hours chart. A firm break above, should improve the outlook for the pound.

GBP/JPY 4-hour chart