GBP/JPY is expected to trade with a bullish outlook above 147.80. The pair has turned up and is likely to continue a new rebound. The rising 20-period and 50-period moving averages play well support roles. Besides, the relative strength index is bullish, calling for further upside.
Therefore, as long as 147.80 is not broken, look for a further advance to 149 and 149.50 in extension.
Alternatively, if the price moves in the direction opposite to the forecast, a short position is recommended below 147.80 with the target at 147.40.
Strategy: BUY, Stop Loss: 147.80, Take Profit: 149.0
Chart Explanation: the black line shows the pivot point. The price above the pivot point indicates long positions; and when it is below the pivot points, it indicates short positions. 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.
Resistance levels: 149.00, 149.50 and 150.05
Support levels: 147.40, 146.90, and 146.10
The material has been provided by InstaForex Company - www.instaforex.com