FX.co ★ Technical analysis of GBP/JPY for July 31, 2014

After five days of consolidating at 50DSma, finally the pair took support at 50DSma in yesterday's session and moved to a weekly high and breached the 20DSma, closed above that. The pair has strong resistance between 174.27-174.54. We can see fresh up move, only above 174.54 levels towards the new high. On the down side, it has support at 173.60, 173.35 and 172.90.

For an intraday basis, the pair exactly touched the break down support trend line, now it became resistance. The pair has been making strong resistance at 174 (14hr high) and support at 173.84 (14hr low).

Trading range is 173.84-174

On the down side, if it hits 173.84, it can extend its fall up to 173.40-173.30, 173.15 and 173. The pair is trading above the 21HrSma and 34Hr Sma. Prices in the near term close above the hourly moving averages. As long as prices close above these, technicals remain strong: only closing/sustaining below it would reverse the near-term trend.

Intraweek trading range is between 174.54-173

Intraday recommendation-

Sell with sl 174.54

Buy only above 174.54