GBP/JPY is expected to trade with a bearish bias. It is undermined by weak euro sentiment on the back of Greek crisis festers and Japan exporter sales. But GBP/JPY losses are tempered by demand from Japanese importers.
The daily chart is negative-biased as the MACD and stochastics are bearish, five-day moving average is below 15-day moving average and is declining.
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 191.30. A break of that target will move the pair further downwards to 190.65. The pivot point stands at 193.70. 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 194.65 and the second target at 195.30.
Resistance levels: 194.65 195.30 196
Support levels: 191.30 190.65 190
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