Falls below neckline
The GBPJPY has fallen below neckline support on the GBPJPY (at the 1.3923 level).
For every H&S that develops, there are others that fail, but the fall below the trend line is still a bearish move. The measured target would head on down to 133.19 area. That is a long way off. There are other targets along the way.
Now because it happens, and because it measures out, does not mean the target will be reached or the formation won't fail. However, with the line in place risk can be defined against the broken trend line. Stay below....more bearish for the pair. The 137.67 - 38.2% and near lows from Friday and July 13th is a key target below. If the selling continues the 200 hour MA at the 136.676 will be targeted.
Looking at the 5-minute, the last corrective move backed up into that broken trend line and held. That is good news for shorts....
