GBP/JPY is expected to trade with a bearish bias. The pair remains under pressure below the key resistance of 183.85. The immediate trend is downward, but momentum is weak, as the intraday RSI is turning up and calls for caution. Nevertheless, as long as the process of reaching lower highs and lows remains intact, further decline seems more likely to occur to 182 and 181.60 as our targets.
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 182. A breakout of that target will move the pair further downwards to 181.60. The pivot point stands at 183.85. 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 184.75 and the second target at 185.30.
Resistance levels: 184.75 185.30 186.15
Support levels: 182 181.60 181
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