FX.co ★ ckerluke | GBP/JPY

GBP/JPY. Good day. Pound/yen continues to tread water today; in the last few hours the bulls are trying to get into the game and seize the initiative more fully, but I don’t think the bears will give it up that easily. As a result, most likely the consolidation will continue within the previous range, that is, in the near future we should probably expect a decline to about 214.85-90. On the hourly chart the indicators still support further movement to the upside, including the Bollinger channel, which points to a possible development of the current upward impulse. However, the lower-window indicators have started to show bearish divergences, hinting at a reversal. But these are only hints, so it is hardly worth opening short positions based on this alone. On the 4-hour chart the indicators are also pointing north, and here the pair has tested the middle Bollinger band from above and seems to be starting to bounce off it. If the bounce is confirmed, selling will remain in question for a long time. But the entire current rise still looks like a local correction to the previous downward wave, so I do not expect a major move to the upside.