GBPJPY under pressure, drops to key demand zone

As sentiment worsened, the JPY crosses tanked and the GBPJPY cross was no exception. At the time of writing, it was down 0.2% and trading at 149.30.
The previous bounce ended precisely at the bearish trendline near 153.30, and since bulls failed to breach the resistance, the medium-term downtrend was defended. The following decline was really steep and the cross fell below the psychological 150 threshold.

The Pound seems ready to test the critical demand zone at 148.60. If this support is not defended and the price drops below it, large stop-losses of long positions will most likely be triggered, possibly sending the cross further lower. The bearish outlook would be confirmed in this case.

The next target of the decline might be at 147.30. Afterward, the price might continue falling toward 145.

Alternatively, if the situation improves, the support of 148.60 could offer enough power for a strong rally. The price needs to jump above 150 for the short-term outlook to appear bullish again.
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