This pair has had 11 consecutive winning days in May and this for a pair that could not make up its mind just a month ago! This week the pair got stuck at the 147.50 resistance level which goes back to early 2013 and also played a factor in December 2016 when it began making a broadening wedge. In that trade I posted the 147.00 was mentioned as a reversal area and 2 weeks later there was a 900p sell-off. So, here we are at this area again with selling pressure. In addition we now have a narrowing wedge, but the bearish implication is the same.
The BOE decision on Thursday brought the pair down below 147.00 and while the pair remain below 147.00 area on at least a H4 basis,I will continue to look for JPY strength and GBP weakness to continue selling. The pair is in an uptrend and JPY mostly weak, so be cautious and very patient.
The first strong support below 145.80/70 is at 143.70. A daily close above 174.50/80 are would delay a more bearish outlook for now.

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