GBP/JPY Price Analysis: Rising wedge breakdown on 4H

• GBP/JPY faced rejection at key resistance for the third day on Tuesday
• The rising wedge breakdown seen on the 4-hour chart indicates the bears have regained control. 

GBP/JPY is currently sidelined near 133.40, having failed to take out resistance at 134.47 for the third straight day on Tuesday. 

That level marks the 50% Fibonacci retracement of the sell-off from 144.96 to 123.99 observed during the four weeks to March 19. 

The repeated rejection at the Fibonacci resistance followed by a rising wedge breakout on the 4-hour chart indicates the bounce from the recent low of 123.99 has ended and the path of least resistance is to the downside. 

The pair could challenge immediate support at 122.75, under which major support is seen at 131.64 (ascending 10-day average). 

On the higher side, a convincing break above 134.47 is needed to revive the bullish setup. 

4-hour chart

Trend: Bearish

Technical levels