FX.co ★ GBP/JPY technical levels and trading recommendations for April 24, 2013

Overview

Like we expected yesterday, proceeding from the today's H4 chart, the pair will take a slightly upward move in case it fails to break the upward trend and the Support level 150.50. Currently the pair is trading between the Support level 151.70 and the Resistance level 143.20. If the pair continues its upward move and manages to break this Resistance level, it may continue its bullish trend and we will get a good opportunity to buy again above the Resistance level 153.20 till closing 4H above the Resistance level 154.00 as a level target. Then we should wait for breaking this Resistance level to continue the upward move and open the way towards the Resistance level of 154.60. On the other hand, if the pair failes to break the Resistance level 153.20 and bounces from it, it may take a downward trend, which will enable the Support level of 151.70. Then we should wait for breaking this Support level in order to get new bearish signals. In case the pair is able to break the Support level and closes 4H below, we will get a bearish strength providing new sell signals which will enable the Support level of 150.50 as a target level. Based on the given H4 chart, the technical indicators provide buy signals, but as long as the Resistance level 153.20 is unbroken, the downward move is still expected invalidating the bullish outlook. Therefore, we should wait for more confirmations before making the decision.

Resistance and Support levels R3 (154.60) R2 (154.00) R1 (153.20) S1 (151.70) S2 (150.50) S3 (148.50)