Technical analysis of GBP/JPY for May 08, 2018

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All our upside targets which we predicted in the previous analysis have been hit. The pair remains under pressure within its intraday declining channel. The falling 50-period moving average acts as resistance and should continue to push the price lower. Last but not least, the relative strength index is below its neutrality area at 50, and calls for a new pullback. In which case, as long as 147.70 is not surpassed, further downside seems more likely to occur to 146.65 and 146.10 in extension.

Chart Explanation: The black line shows the pivot point. Currently, the price is above the pivot point which is a signal for long positions. If it remains below the pivot point, it will indicate short positions. The red lines show the support levels, while the green line indicates the resistance levels. These levels can be used to enter and exit trades.

Resistance levels: 148.00, 148.30, and 149.1\0

Support levels: 146.65, 146.10, and 145.50

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