will the role reversal play out???

Support levels, once penetrated, frequently become resistance levels and vice versa.

The market logic is fairly simple: buyers who purchase near a support level, only to see price fall, are likely to sell in order to recover their losses, when price rallies to near their break-even point. The support level then becomes a resistance level.

I will now sit tight and watch closely the price action along the previous resistance cluster. Take note that the price is coiling within the two converging trendlines and a possible bearish pennant pattern might be in play; even though the range is too huge to my liking. As long as the price stays below 140 zone, I will still holding my bearish sentiment.

Below is the GBP/JPY daily chart.


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