Overview:
GBP/JPY is consolidating with bullish bias after hitting near-one-month low. The rate is undermined by weak USD/JPY undertone; euro sales from Japan exporters. But GBP/JPY losses are tempered by euro demand from Japan importers; BOJ's aggressive easing measures to help achieve its 2% inflation target. Daily chart is negative-biased as MACD and stochastics are in bearish mode.
Trading recommendations:
The pair is trading above its pivot point. It is likely to trade in the higher range as far as it remains above its pivot point. While the price is above its pivot point, trading in higher range is most favorable and buy position is recommended above its pivot with the first target at 153.8 and the second target at 154.05. You should keep in view short position below the pivot keep of the first target at 152.2, the breach of this target will move the pair downward further and expect the second target at 151.9. The pivot point stands at 152.6.
Resistance levels:
R1 - 153.8
R2 - 154.05
R3 - 154.5
Support levels:
S1 - 152.2
S2 - 151.9
S3 - 151.55
