Technical Analysis of GBP/JPY for April 11, 2016
GBP/JPY is expected to trade with a bearish bias as the pair is expected to trade in a higher range. The pair might be forming an intraday "rounding bottom" pattern, and is likely to challenge its next resistance at 1.4170. The rising 20-period and 50-period moving averages play well as support roles, and should continue to push the pair higher. In addition, the RSI is well directed, and calls for further advance. In these perspectives, as long as 151.80 holds on the downside, further upsides are expected at 153.50 and 154.50 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 153.50 and the second one, at 154.50. In the alternative scenario, short positions are recommended with the first target at 151.05 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 149.60. The pivot point is at 151.80.
Resistance levels: 153.50, 154.50, 155.45
Support levels: 151.05, 149.60, 149
The material has been provided by InstaForex Company - www.instaforex.com
