Morning Report

gbpjpy

The pair is steady above the breached neckline for the bullish pattern mentioned above, while we can notice that the fluctuation within a tight range yesterday unloaded the negative momentum and Stochastic is now moving in oversold areas. Therefore, we preserve our intraday bullish expectations for today affected by the bullish pattern and the positivity on Stochastic alongside the strong support from the SMA 50. Breaching 132.20 and stability below it will delay the expected upside move, while stability above 131.20 is required for our expectations to prevail.

The trading range for today is among the key support at 130.50 and key resistance at 135.85.

The general trend over short term basis is to the downside targeting118.80as far as areas of 150.75 areas remain intact.

Support132.20131.85131.20131.00130.50
Resistance132.90133.40134.00134.50135.00
RecommendationBased on the charts and explanations above, our opinion is buying the pair around 132.20 targeting 135.50 and stop loss below 131.00 might be appropriate