Overview:
GBP/JPY is trading in a lower range. The pair is undermined by increased risk aversion and Japan exporter sales. But GBP/JPY losses are tempered by demand from Japan importers and positive euro sentiment. Daily chart is negative-biased as MACD & stochastics are in the bearish mode.
Trading recommendations:
The pair is trading below its pivot point. The pair is likely to trade in a lower range as far as it remains below its pivot point. Short positions are recommended with the first target at 147.90, a breach of this target will move the pair downward further and you should expect the second target at 147.3. Pivot point stands at 150.2. In case the price moves in opposite direction and returns from its support moving above its pivot point then trading in higher range is the most favorable and buying above its pivot with the first target at 150.7 and the second target at 151.6 is recommended.
Support levels:
S1 - 147.90
S2 - 147.3
S3 - 146.75
Resistance levels:
R1 - 150.7
R2 - 151.6
R3 - 152
