Until 129.33 is broken to the downside GBP/JPY will be developing corrective wave B (colored magenta) against 134.19-129.33. According to wave count this corrective upmove now consists of wave A and B - colored red in the chart - with wave B still developing. The subwave B (the red one) will be over when 131.24 is broken to the upside. In this case the targets above the current price level will be Fibonacci retracements of 129.33-134.19, 129.43-131.74, 131.24-129.43, and expansions off 129.33-131.74-129.43.
Resistances:
- 130.55-59 = confluence area of .382 and .50 retracements, already hit (!)
- 130.86 = .382 ret
- 131.84 = objective point (OP)
- 132.33 = .618 ret
If the price keeps its decline the nearest supports will be Fibonacci expansions off 134.19-129.33-131.74, and 131.74-130.16-131.24.
Supports:
- 128.74-68 = confluence area of contracted objective point (COP) and expanded objective point (XOP)
- 127.10 = super expanded objective point (SXOP)
- 126.88 = OP
Overbought/Oversold
Assuming that the pair is trading in the flat limited by 129.43-131.74 it's preferable to stand aside and not use the Detrended Oscillator's OB/OS readings to enter the market. The oscillator itself confirms the choppy character of trading by flattening around the zero level.
Read more on how to apply Fibonacci studies to calculate price targets.