12.05.2017 06:51 AM
Technical analysis of GBP/JPY for May 12, 2017

This image is no longer relevant

GBP/JPY is under pressure. The pair has been capped by its 20-period moving average, which remains below the 50-period moving average. The horizontal level at 147.15 should now play a key resistance role. In addition, the relative strength index is below its neutrality area at 50, and lacks upward momentum.

Therefore, as long as 147.15 holds as the key resistance, expect a break below the nearest support at 146.15 at first. A break below 146.15 allows for further drop to 145.70 as likely.

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 146.15. A break below this target will move the pair further downwards to 145.70. The pivot point stands at 147.15. If 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 147.55 and the second one at 148.

Resistance levels: 147.55, 148.00, and 148.85

Support levels: 146.15,145.70, and 145.00

Earn on cryptocurrency rate changes with InstaForex
Download MetaTrader 4 and open your first trade
  • Grand Choice
    Contest by
    InstaForex always strives to help you
    fulfill your biggest dreams.
  • Chancy Deposit
    Deposit your account with $3,000 and get $1000 more!
    In April we raffle $1000 within the Chancy Deposit campaign!
    Get a chance to win by depositing $3,000 to a trading account. Having fulfilled this condition, you become a campaign participant.
  • Trade Wise, Win Device
    Top up your account with at least $500, sign up for the contest, and get a chance to win mobile devices.
  • 100% Bonus
    Your unique opportunity to get a 100% bonus on your deposit
  • 55% Bonus
    Apply for a 55% bonus on your every deposit
  • 30% Bonus
    Receive a 30% bonus every time you top up your account

Recommended Stories

Can't speak right now?
Ask your question in the chat.
Widget callback