GBP/JPY is under pressure. The pair is turning down, while the descending 20-period moving average has crossed below the 50-period one. Meanwhile, the relative strength index stays below 50.The relative strength index is bearish below its neutrality area of 50 and lacks upward momentum. European stocks were also modestly lower with the STOXX Europe 600 sliding 0.2%. Germany's DAX lost 0.3%, the U.K.'s FTSE was broadly flat, and France's CAC edged down 0.1%. As long as 131.75 holds as the key resistance, a break below 130.30 is possible.

The pair is trading below its pivot point. It is likely to trade in a lower range as long as it remains below the pivot point. Short positions are recommended with the first target at 130.30. A break below this target will move the pair further downwards to 129.45. The pivot point stands at 131.75. If the price moves in the opposite direction and bounces back from the support level, it will move above its pivot point. It is likely to move further to the upside. According to that scenario, long positions are recommended with the first target at 132.70 and the second one at 133.20.

Resistance levels: 132.70, 133.20 , 134.60

Support levels: 130.45, 129.45, 128.70