GBP/JPY is expected to trade in a higher range as there is bullish bias above 151.85. The pair stays above its support base at 155.85 and the relative strength index lacks downward momentum. Further bounce is expected with 155.10 and 156.30 as targets. However, if the pair turns down and breaks below the horizontal support at 151.85, it would open the way to further drop toward 150.80 and 149.80 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 155.10 and the second one at 156.30. In the alternative scenario, short positions are recommended with the first target at 150.80 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 149.80. The pivot point is at 151.85.
Resistance levels: 155.10, 156.30, 157 Support levels: 150.80, 149.80, 148.10