GBP/JPY is expected to trade with a bearish bias. The pair stays below its key resistance at 185.25 moving sideways between 185.25 and 184.55. Meanwhile, the relative strength index is mixed to bearish. As long as 185.25 is resistance, look for choppy price actions with a bearish bias. The first target to the downside is set at the horizontal support and overlap at 185.55. A breakout below this level would open the way to further weakness toward 183.95.
Trading recommendations:
The pair is trading below its pivot point. It is likely to trade in a lower range as long as it remains below the pivot point. Short positions are recommended with the first target at 184.55. A break of that target will move the pair further downwards to 183.95. The pivot point stands at 185.25. In case the price moves in the opposite direction and bounces back from the support level, it will move above its pivot point. It is likely to move further to the upside. According to that scenario, long positions are recommended with the first target at 186.35.70 and the second target at 186.30.
Resistance levels: 185.70 186.30 186.55 Support levels: 184.55 183.95 183
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