Overview:
The GBP/JPY is to range-trade. It is undermined by weaker euro sentiment amid political turmoil in Portugal; Japan exporter sales. But the GBP/JPY downside limited by demand from Japan importers; caution ahead of Friday's U.S. June non-farm payrolls and unemployment report. Daily chart mixed as MACD bullish, five-day moving average above 15-day MA and advancing; but stochastics turning bearish at overbought.
Trading recommendations:
The pair is trading above its pivot point. It is likely to trade in a higher range as far as it remains above its pivot point. As far as 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 152.85 and the second target at 153.5. You should keep in view short position below the pivot keep of the first target at 150, breach of this target will move the pair downward further and one may expect the second target at 149.5. The pivot point stands at 151.3.
Resistance levels:
R - 152.85
R2 - 153.5
R3 - 154
Support levels:
S1 - 150.55
S2 - 150
S3 - 149.75
