GBP/JPY is expected to trade with a bullish bias above 160.30. The pair stands firmly above its nearest support at 160.30, and is likely to post a new rebound after the recent consolidation. The 20-period moving average is also turning up, and is about to cross the 50-period one. The intraday relative strength index remains bullish, calling for a new rise. Hence, as long as 160.30 is not broken, an advance is likely to challenge 162.45 in sight, if a breakout, looking for 163 in extension.
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 162.45 and the second one at 163. In the alternative scenario, short positions are recommended with the first target at 159.35 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 158.60. The pivot point is at 160.30.
Resistance levels: 162.45, 163, 164
Support levels: 159.35, 158.60, 157.50