Overview:
GBP/JPY is consolidating with bullish bias. It is supported by positive investor risk appetite, demand from Japan importers. But GBP/JPY gains are tempered by Japan exporter sales. Daily chart is positive-biased as stochastics is bullish; MACD staged bullish crossover against its exponential moving average; the five-day moving average is rising above the 15-day MA.
Trading recommendations:
The pair is trading above its pivot point. It is likely to trade in a higher range as far as it remains above its pivot point. As far as the price is above its pivot point, a long position is recommended with the first target at 157.9 and the second target at 158.5. In alternative scenario, if the price moves below its pivot points short positions are recommended with the first target at 155.45, the breach of this target will move the pair further downwards and one may expect the second target at 154.65. The pivot point stands at 156.5.
Resistance levels:
157.9
158.5
159.5
Support levels:
155.45
154.65
154