FX.co ★ Daily analysis of GBP/JPY for February 10, 2014

Overview

According to the today's H4 chart and as it was expected last week, the pair might take new bullish signals in case of closing 4H above the Resistance level of 168.50 after it was tested. On Friday, the pair took an upward movement and managed to break the strong resistance area at 166.00 then 167.00, but immediately it bounced again from the Resistance level of 166.50 to reverse its upward direction, and currently the price is trading below the resistance level. More bullish signals are still expected in case of closing above this resistance level again with the first target few pips below the resistance level of 169.75, hence we should wait for more confirmations before decision making.

Resistance and support levels: R3 (169.75) R2 (168.50) R1 (167.75), S1 (167.00), S2 (166.00), S3 (165.00).