Technical analysis of GBP/JPY for January 22, 2014
January 22, 2014 3:15 pm
Overview:
GBP/JPY is expected to range-trade supported by the demand from Japan importers. But GBP/JPY upside is limited by subdued risk appetite and Japan exporter sales. Daily chart is mixed as MACD is bearish, 5 and 15-day moving averages are falling, but stochastics is turning bullish in oversold zone.
Trading recommendation:
The pair is trading above its pivot point. It is likely to trade in a higher range as far as it remains above its pivot point. As far as the price is above its pivot point, a long position is recommended with the first target at 173.65 and the second target at 174.15 in mind. In an alternative scenario, if the price moves below its pivot points, short positions are recommended with the first target at 170.85. A breach of this target will move the pair further downwards and one may expect the second target at 170.25. The pivot point stands at 171.25.
Resistance levels: 173.65 174.15 174.85
Support levels: 170.85 170.25 169.65
The material has been provided by InstaForex Company – www.instaforex.com
Overview:
GBP/JPY is expected to range-trade supported by the demand from Japan importers. But GBP/JPY upside is limited by subdued risk appetite and Japan exporter sales. Daily chart is mixed as MACD is bearish, 5 and 15-day moving averages are falling, but stochastics is turning bullish in oversold zone.
Trading recommendation:
The pair is trading above its pivot point. It is likely to trade in a higher range as far as it remains above its pivot point. As far as the price is above its pivot point, a long position is recommended with the first target at 173.65 and the second target at 174.15 in mind. In an alternative scenario, if the price moves below its pivot points, short positions are recommended with the first target at 170.85. A breach of this target will move the pair further downwards and one may expect the second target at 170.25. The pivot point stands at 171.25.
Resistance levels:
173.65
174.15
174.85
Support levels:
170.85
170.25
169.65
The material has been provided by InstaForex Company – www.instaforex.com
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