GBP/JPY is expected to trade in a higher range as a bias remains bullish. The pair is posting a rebound after testing the key support at 184.90 overnight. It is currently trading around both the 20- and 50-period moving averages. And the relative strength index is staying above the neutrality level at 50. The intraday outlook continues to be bullish with the first upside target being set at 186 and the second one at 186.55.
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. As long as the price holds above its pivot point, long positions are recommended with the first target at 186 and the second target at 186.55. In the alternative scenario, short positions are recommended with the first target at 184.30 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 183.85. The pivot point is at 184.90.
Resistance levels: 186 186.55 187
Support levels: 184.30 183.85 183