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Technical analysis of GBP/JPY for May 25, 2016

GBPJPYM30.png

GBP/JPY is expected to trade with a bullish bias. Currently trading at 160.87, the pair is moving sideways and remains on upside above its support at 159.80. And the relative strength index also lacks downward momentum. As long as 159.80 is not broken below, the pair is expected to climb toward 161.65 and 162.55 in the coming days.

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 161.65 and the second one at 162.55. In the alternative scenario, short positions are recommended with the first target at 159 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 158.05. The pivot point is at 159.80.

Resistance levels: 161.65, 162.55, 163.35

Support levels: 159, 158.05, 157.45

The material has been provided by InstaForex Company - www.instaforex.com