21.03.201608:57 Forex Analysis & Reviews: Technical analysis of GBP/JPY for March 21, 2016

Long-term review

This information is provided to retail and professional clients as part of marketing communication. It does not contain and should not be construed as containing investment advice or investment recommendation or an offer or solicitation to engage in any transaction or strategy in financial instruments. Past performance is not a guarantee or prediction of future performance. Instant Trading EU Ltd. makes no representation and assumes no liability as to the accuracy or completeness of the information provided, or any loss arising from any investment based on analysis, forecast or other information provided by an employee of the Company or otherwise. Full disclaimer is available here.

GBP/JPY is expected to trade in a higher range as a bias remains bullish. The pair stands firmly above its nearest support at 160, and is likely to challenge its nearest resistance at 161.85. The relative strength index lacks downward momentum. Besides, the key moving averages still act as support roles. To conclude, even though a continuation of the consolidation cannot be ruled out, its extent should be limited. As long as 160 is not broken, look for a new bounce to 161.85 and 162.85 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 161.85 and the second one at 162.85. In the alternative scenario, a short position is recommended with the first target at 159 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 157.75. The pivot point is at 160.

Resistance levels: 161.85, 162.85, 163.40

Support levels: 159.00, 157.75, 156.90

Back to the list

Open trading account

InstaForex analytical reviews will make you fully aware of market trends! Being an InstaForex client, you are provided with a large number of free services for efficient trading.