Technical analysis of GBP/JPY for December 04, 2017

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We will retain our previous analysis target. The pair posted a technical rebound and is now standing above its 50-period moving average. The relative strength index is turning up and calling for a new bounce. Last but not least, a strong support at 151.10 has formed, and should limit any downward attempts.

In these perspectives, as long as 151.10 is not broken, look for a new rise to 153.35, and then to 154 in extension.

Alternatively, if the price moves in the direction opposite to the forecast, a short position is recommended below 151.10 with the target at 149.90

Strategy: BUY, Stop Loss: 151.10, Take Profit: 153.35

Chart Explanation: the black line shows the pivot point. The price above the pivot point indicates long positions; and when it is below the pivot points, it indicates short positions. The red lines show the support levels and the green line indicates the resistance levels. These levels can be used to enter and exit trades.

Resistance levels: 153.35, 154.00, and 154.60

Support levels: 149.90, 148.60, and 148

The material has been provided by InstaForex Company - www.instaforex.com