GBP/JPY technical analysis: Dip-buying should help limit any meaningful pullback

• Escalating geopolitical tensions exerted some heavy downward pressure on Monday.
• The downside seemed limited and the near-term set-up remains in favour of bulls.

The GBP/JPY cross opened with a weekly bearish gap in reaction to escalating geopolitical tensions, which boosted the Japanese Yen's safe-haven status, albeit showed some resilience below the 134.00 handle.
 
Given last week's sustained move beyond the 133.00 horizontal resistance and a subsequent breakthrough 61.8% Fibo. level of the 137.80-126.54 downfall, the near-term set-up remains in favour of bullish traders.
 
Moreover, technical indicators on 4-hourly/daily charts maintained their bullish bias, which further adds credence to the constructive outlook and support prospects for some meaningful dip-buying interest.
 
Hence, any pullback below the 134.00 handle might still be looked upon as an opportunity to initiate fresh bullish positions and should help limit the downside near mid-133.00s (61.8% Fibo. resistance breakpoint).
 
On the upside, bulls are likely to aim for a move towards surpassing the key 135.00 psychological mark and test the next major hurdle near 100-day SMA ahead of mid-135.00s, which might keep a lid on any further up-move.

GBP/JPY daily chart