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Technical analysis of GBP/JPY for December 22, 2017

GBPJPYM30.png

Our upside target which we predicted in the previous analysis has been hit. Turning up. The pair posted a rebound from 149.45 and broke above its 20-period and 50-period moving averages. In addition, the 20-period moving average turned up and crossed above the 50-period one. The relative strength index is above its neutrality level at 50.

To conclude, as long as 151.25 holds on the downside, look for a further rebound with targets at 152 and 152.35 in extension.

Alternatively, if the price moves in the direction opposite to the forecast, a short position is recommended below 151.25 with the target at 151.00

Strategy: BUY, Stop Loss: 151.25, Take Profit: 152.00

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: 152.00, 152.35, and 153.00

Support levels: 151.00, 150.75, and 150

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