GBP/JPY Weekly Technical Report  7-11/1/2013

Biased to the downside at this week`s inception, the pair trades in a stable range above 140.00; stability above this level is seen positive because it revokes a potential test to the main ascending support. Hereon, we believe this week will carry an uptrend provided that the pair stays above 140.00.

The trading range expected for this week is between the key support at 137.50 and the key resistance at  144.90.

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

Support 140.50 139.90 139.30 138.70 137.50

Resistance 140.85 141.30 141.60 142.15 143.20

Recommendation Based on the graph and explanation above, our opinion is buying the pair above 140.10 targeting 141.30, 142.15 and 143.60 and stop-loss with four-hour closing below 139.10 this week.