GBP/JPY headed for first weekly decline since mid-Oct.

The GBP/JPY cross extended its corrective slide from nearly 6-month peak touched last week and has now dropped below 144.00 handle to hit a fresh two-week low.

Currently trading around 143.85-80 region, persistent selling pressure around the British Pound coupled with a mild corrective move in the USD/JPY major are the key factors weighing on the cross for third consecutive session. The cross even shrugged-off upbeat UK GDP and more-than-expected shrinkage in the UK current account deficit and is now all set to snap nine consecutive weeks of winning streak.

Meanwhile, the prevalent cautious sentiment around equity markets, amid thin market liquidity conditions, is also lending support to the Japanese Yen's safe-haven appeal and collaborating to the offered tone around the GBP/JPY cross.

Technical levels to watch

Immediate downside support is pegged near 143.50 region below which the cross is likely to extend its corrective slide, even below 143.00 round figure mark, towards testing the very important 200-day SMA support near 142.60-55 region. On the upside, momentum above 144.00 round figure mark, leading to a subsequent strength above 144.30 level, is likely to lift the cross back towards 145.00 psychological mark.