GBP/JPY fell a bit lower than we expected. The question is whether a deeper correction is needed before the next impulsive rally occurs or short-term key-support at 134.26 will be able to protect the downside for a rally above short-term key-resistance at 135.92 and higher to 139.74.
A break below key-support at 134.26 will call for a corrective decline towards at least 133.62 before rising again.
R3: 136.11
R2: 135.92
R1: 135.37
Pivot: 134.73
S1: 134.26
S2: 134.04
S3: 133.62
Trading recommendation:
Our long GBP position from 132.85 was stopped out at 134.40 for a profit of 155 pips. We will re-buy GBP at 133.70 or upon a break above 135.37.
The material has been provided by InstaForex Company - www.instaforex.com