The GBP/JPY pair declined to 207.06 in the previous week before staging a rebound. The short-term bias remains neutral, suggesting a period of consolidation. A further drop is anticipated while the 209.73 minor resistance level remains intact. A breach below 207.06 would extend the downward move from 219.56 toward the 206.10 Fibonacci level. However, a firm break above 209.73 would signal a short-term bottom, paving the way for a stronger rebound toward the 55 4H EMA, currently situated at 210.38.
From a broader perspective, the price action originating from 219.56 is interpreted as a correction of the uptrend that began at 184.35 in 2025. A deeper descent to the 38.2% retracement level of the 184.35 to 219.56 move, located at 206.10, is possible before this correction concludes. As long as the 217.45 resistance holds, the downside risk remains prevalent should a rebound occur.
Looking at the long-term trajectory, the uptrend originating from the 116.83 low in 2011 remains active. The next major target is set at the 251.09 level from the 2007 high. This bullish outlook remains valid provided the 55 M EMA, currently at 190.50, continues to offer support.
Also Read
- GBP/CHF Wave Analysis: Pound Approaches 1.1100 Resistance After Breakout
- U.S. Bank Trials Internal Cross‑Border Payments Using Its Own USDB‑Backed Stablecoin on Stellar
- Law Firms Face Surging Cyberattacks as Stolen Files Surface on the Dark Web
- Bitcoin’s ‘Unusual Mix’: Bearish Inflation Print, Bullish Buyback Failure