Pulling back in established short-term downtrend

• GBP/JPY is correcting within a new downtrend. 
• The correction is likely to eventually end and the downtrend to resume, pushing prices to new lows.
   

GBP/JPY has been falling since it rolled over at the September 2 high. It has now probably begun a new short-term downtrend, reversing the previous August uptrend.  

Most recently it bottomed out on September 6 and pulled back. It now seems to be falling again, perhaps resuming its dominant downtrend.

GBP/JPY 4-hour Chart 

In technical analysis theory the odds favor an extension of the established downtrend, which suggests further weakness as the short-term trend unfolds. 

A break below 186.51 (September 6 low) will confirm further downside towards the next target at 184.51 (August 8 swing low) followed by 182.82 (August 6 swing low). The ultimate downside target is the August 5 low at 180.06.