Today we’d be looking at the GBP/JPY pair. Overall, the GBP/JPY seems to be doing well as it shows a clear bullish movement on the chart. If we consult the relative strength index of the pair, we’d see it’s showing us that the pair has a good potential to keep growing. That would likely be the case, at least while the GBP/JPY pair manages to remain above the important pivot point at 144.50.
This is the case we can observe right now as the pair is located above 144.50. This bodes well for all traders who are hoping to see the pair rise further. If the GBP/JPY keeps this up, then we can open long positions and use the two nearby resistance levels at 145.20 and 145.45 as our targets. In case the opposite happens and we see the pair drop below 144.50, then we would probably see it sink further down; in this situation it’s recommended to go short and use the support levels at 144.05 and 143.75 as targets.
As of the moment of this article’s publication the GBP/JPY is trading around 144.87. This is clearly located above the pivot point, so it leans towards the first scenario described above.
