Technical Analysis of GBP/JPY for April 12, 2016
GBP/JPY is expected to trade in a higher range as the pair is bullish above 153.05. The pair stands above its support base at 153.05, which has allowed for a temporary stabilization. Meanwhile, the relative strength index lacks downward momentum. Further upside is therefore expected with the next horizontal resistance and overlap set at 155.45 at first. A break above this level would call for further advance toward 156.70 in extension.
The pair is trading above its pivot point. It is likely to trade in a wider range as long as it remains above its pivot point. Therefore, long positions are recommended with the first target at 155.45 and the second one, at 156.70. In the alternative scenario, short positions are recommended with the first target at 151.80 if the price moves below its pivot points. A break of this target is likely to push the pair further downwards, and one may expect the second target at 149.60. The pivot point is at 153.05.
Resistance levels: 155.45, 156.70, 157.15
Support levels: 151.80, 151.05, 149.60
The material has been provided by InstaForex Company - www.instaforex.com