GBP/JPY is expected to trade with a bullish bias. The pair has broken above a declining trend line since June 6, while the 20-period moving average has crossed above the 50-period one. The relative strength index shows downward momentum. As long as 154.90 holds as the key support, target 157.25 and 158.75 as the next supports.
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 157.25 and the second one at 158.75. In the alternative scenario, short positions are recommended with the first target at 154.10 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 152.90. The pivot point is at 154.90.
Resistance levels: 157.25, 158.75, 159.50
Support levels: 154.10, 152.90, 151.35