GBP/JPY may rise 142 - 211 pips

Our pivot point is at 190.53.

Our preference

The upside prevails as long as 190.53 is support.

Alternative scenario

The downside breakout of 190.53 would call for 189.38 and 188.70.

Comment

The RSI is above 70. It could mean either that the pair is in a lasting uptrend or just overbought and therefore bound to correct (look for bearish divergence in this case). The MACD is above its signal line and positive. The configuration is positive. Moreover, the price is above its 20 and 50 period moving average (respectively at 190.35 and 189.54).

Supports and resistances

194.96 **

194.28 *

193.60 **

192.91

191.49 last

190.98

190.53 **

189.38 *

188.70 **

Number of asterisks represents the strength of support and resistance levels.