GBP/JPY is developing corrective wave against 135.1-130.47 - colored royal blue in the chart. This is wave B, which now has A and B subwaves within it - they're colored red in the chart. The targets above the current level are Fibonacci retracements of 135.11-130.47.
Resistances:
- 132.24 = .382 retracement
- 132.79 = .50 ret
- 133.34 = .618 ret
If the downtrend resumes and the price breaks below 130.47 the immediate supports will be Fibonacci retracements of 122.49-139.93, and expansions off 139.93-130.26-135.11, 135.11-130.47-131.95.
Supports:
- 129.15-13-08 = confluence area of .618 retracement and two contracted objective points (COP)
- 127.31 = objective point (OP)
Overbought/Oversold
Assuming that the medium term trend is down it's preferable to try shorts when the Detrended Oscillator gets above the zero level (35-40 pips above the current prices) or into the overbought area (65-80 pips above the current prices).
Read more on how to apply Fibonacci studies to calculate price targets.