Overview:
GBP/JPY is expected to trade in lower range. This movement is supported by the positive risk sentiment and demand from Japan importers. But GBP/JPY gains are tempered by the Japan exporter sales. Daily chart is mixed as MACD is bearish, five-day moving average is below 15-day MA and is declining, but stochastics is turning bullish at oversold zone.

Trading recommendation:
The pair is trading below its pivot point. It is likely to trade in a lower range as far as it remains below its pivot point. Short position is recommended with the first target at 171.90. A breach of this target will move the pair further downwards to 171.60. The pivot point stands at 172.75. In case the price moves in the opposite direction and bounces back from support level, and then it moves above its pivot point, it is likely to move further to the upside. In that scenario, a long position is recommended with the first target at 173 and the second target at 173.30.

Resistance levels:
173
173.30
173.50

Support levels:
171.90
171.60
171.40