GBP/JPY is expected to extend its further upside movement. The pair is trading above its rising 20-period and 50-period moving averages, which play support roles and maintain the upside bias. The relative strength index stands firmly above its neutrality level at 50. Additionally, 1.2455 is playing a key support role, which should limit the downside potential. As long as 132.45 is support, look for a further upside toward 135.35 and even 136.60 in extension.

The pair is trading above its pivot point. It is likely to trade in a wider range as long as it remains above its pivot point. Therefore, long positions are recommended with the first target at 135.35 and the second one at 136.60. In the alternative scenario, short positions are recommended with the first target at 131.65 if the price moves below its pivot point. A break of this target is likely to push the pair further downwards, and one may expect the second target at 127.85. The pivot point lies at 132.45.

Resistance levels: 132.45, 133.30, 137.15

Support levels: 131.65, 130.30, 129.45