FX.co ★ GBP/JPY: Downward

Overview:
GBP/JPY is in range-trade. The rate is supported by positive investor risk appetite; weak yen sentiment on Bank of Japan's aggressive easing measures to help reach its 2% inflation target in next two years; demand from Japan importers. But GBP/JPY upside is limited by weak euro sentiment; Japan exporter sales; positions adjustment before weekend. Daily chart is mixed as stochastics is turned bearish at overbought, but MACD is still in bullish mode.

Trading recommendation:
The pair is trading below its pivot point. The pair is likely to trade in lower range as far as it remains below its pivot point. Short position is recommended with the first target at 151 in view, breach of this target will further move the pair downward and expect the second target at 150.5. Pivot point stands at 152.8. In case the price moves in opposite direction and returns from its support and moves above its pivot point then it will be most favorably to trade in higher range and buy position is recommended above its pivot with first target at 153.25 and second target at 153.7.

Resistance levels:
R1 - 153.25
R2 - 153.7
R3 - 154.2
Support levels:
S1 - 151
S2 - 150.5
S3 - 150.35