Technical Analysis of GBP/JPY for June 30, 2016
GBP/JPY is expected to trade with a bullish bias. The pair has been supported by a rising trend line, as well as the 20-period and 50-period moving averages and continues its rebound. The relative strength index stays above 50. Further bounce is expected with 139.65 and 140.85 as targets.
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 139.65 and the second one, at 140.85. In the alternative scenario, short positions are recommended with the first target at 135.85 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 135. The pivot point is at 136.90.
Resistance levels: 139.65, 140.85, 142
Support levels: 135.85, 135, 133.30