GBP/JPY is expected to trade in a lower range as the pair is under pressure now. The pair reached lower highs and lower lows confirming a bearish outlook. The 20- and 50-period MAs are declining acting as resistance. The intraday RSI is negative and calls for further downside. Below 187.35, the pair is likely to decline towards targets at 184.90 and 184.20.
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 184.90. A breakout of that target will move the pair further downwards to 184.20. The pivot point stands at 187.35. 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 187.95 and the second target at 189.
Resistance levels: 187.95 189.00 189.85
Support levels: 184.90 184.20 183.25
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