11.07.201606:14 Forex Analysis & Reviews: Technical analysis of GBP/JPY for July 11, 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 under pressure and is capped by a negative trend line. As long as the trend line is not broken, the price is expected to remain below it. The pair has been capped by a descending trend line and remains on the downside. Meanwhile, the relative strength index lacks upward momentum. As long as 131.95 holds as the key resistance, a drop toward 129.55 is possible.

Trading recommendations:

The pair is trading below its pivot point. It is likely to trade in a lower range as long as it remains below the pivot point. Short positions are recommended with the first target at 129.55. A break below this target will move the pair further downwards to 128.75. The pivot point stands at 131.95. In case the price moves in the opposite direction and bounces back from the support level, it will move above its pivot point. It is likely to move further to the upside. According to that scenario, long positions are recommended with the first target at 132.60 and the second one, at 133.40.

Resistance levels: 132.60 , 133.40 , 134.15

Support levels: 129.55, 128.75 , 128.00

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.