Looking at GBPJPY on the H4 chart, we can see that price has been moving within a well-ordered downtrend during the correction from highs posted above 139 earlier in the month.
Following the correction higher to retest the broken 136.26 level support, which held as resistance, price has since broken down below the 133.89 and 133.01 support levels. It is so far holding up at the 61.8% fib extension of the initial bear trend move.
While price holds within the bearish channel, a further extension down towards the 131.88 level looks likely. This is especially while price remains below the 1.3301 level.
Below there, the next key support levels to watch are the 131.88 and 131 levels. The overall bearish target for the move is the 100% fib extension down at 130.02.
Dropping down onto the M15 chart we can see that price has been correcting higher in a very neat short-term bullish channel, creating a bear flag set up offering short opportunities on a break below the channel targeting 131.88 initially.
Risks to this view
We are starting to see some bullish divergence appearing on the RSI indicator with momentum weakening on the last push lower. With this in mind, traders should keep an eye on price action here. If we see a break back above the 133.89 level and the bear channel top, the bear target at 130.10 will be in question.