GBP/JPY is expected to prevail its upside movement. The pair is heading upward, backed by its rising 20-period and 50-period moving averages. The next upward targets are set at 162.35 and 163.20, calculated by Fibonacci projection. Besides, the relative strength index is still positive above its neutrality area at 50. In these perspectives, above 159.35, look for further advance to 162.35 and 163.20 in extension.
Trading Recommendations:
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 162.35 and the second one at 163.20. In the alternative scenario, short positions are recommended with the first target at 158.60 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 157.50. The pivot point is at 159.35.
Resistance levels: 162.35, 163.20, 164
Support levels: 158.60, 157.50, 156.30
The material has been provided by InstaForex Company - www.instaforex.com