FXstreet.com (San Francisco) - After printing a bearish Pinocchio bar candlestick formation on the daily timeframe chart, which formed at resistance near 126.40, GBP/JPY is under downward pressure in Asia, having recently broken below support at 125.55 to print a 4-day low of 125.45 from 125.79 at the start of trading this Thursday. At time of writing, the pairing is quoted at 125.50, recording at 0.23% loss so far on the day.

"GBP/JPY is looking vulnerable to suffer a significant correction lower should the pair lose 125.40/45 area," comments Ivan Delgado Egea, Analyst at FXstreet.com. "Room for downside move is large enough to get strong selling interest as next troubling area doesn't come until 124.00. On the upside, continuation of upward tendencies seeking 127.20, Oct 31 Japan post-intervention high, should resume upon a break of 126.80."