GBP/JPY is still expected to continue its upside movement. The pair posted a rebound from 139.15 and broke above the 20-period moving average. The rising 50-period is playing a support role and maintains the upside bias. The relative strength index is mixed with bullish bias.
Therefore, as long as 141.30 is not broken, look for a further rise to 142.30 and even to 142.75 in extension.
Alternatively, if the price moves in the opposite direction as predicted, a short position is recommended below 141.30 with targets at 141.00 and 140.55.
Chart Explanation: the black line shows the pivot point. The price above pivot point indicates the bullish position and when it is below pivot points, it indicates the short position. The red lines show the support levels and the green line indicates the resistance levels. These levels can be used to enter and exit trades.
Strategy: BUY, Stop Loss: 141.30, Take Profit: 142.30
Resistance levels: 142.30, 142.75, and 143.35
Support levels: 141.00,140.55, and 140
The material has been provided by InstaForex Company - www.instaforex.com