Morning Report

gbpjpy20_04_2012

The pair reversed to the downside after reaching 61.8% Fibonacci correction, affected by the negativity of Stochastic as shown over daily basis. We expect this reversal might trigger a retest of 130.05 before continuing the intraday upside move today, targeting mainly 131.70 and 133.00, noting that a breach of 130.05 weakens the suggested positivity.

The trading range for today is among the major support at 129.00 and the major resistance at 133.00.

The short-term trend is to the downside as far as 150.00 remains intact targeting 112.00.

Previous Report

Weekly Report

Support130.05129.20128.40128.00127.25
Resistance131.10131.70132.65133.00133.45
RecommendationBased on the charts and explanations above, our opinion is buying the pair around 130.05, targeting 131.70 and then 133.00 and stop loss with 4-hour closing below 129.55 might be appropriate