Overview:
GBP/JPY is consolidating with bullish bias. It is supported by positive investor risk appetite, demand from Japan importers. But GBP/JPY upside is limited by Japan exporter sales, positions adjustment before long weekend in U.S. and Japan. Daily chart is mixed as MACD is bearish, but stochastics is rising from oversold area.
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, a long position is recommended with the first target at 157.35 and the second target at 157.9. In alternative scenario, if the price moves below its pivot points short positions are recommended with the first target at 155.45, the breach of this target will move the pair further downwards and one may expect the second target at 154.65. The pivot point stands at 156.5.
Resistance levels:
157.35
157.9
158.5
Support levels:
155.45
154.65
154
