FX.co ★ ckerluke | GBP/JPY

Hello traders. GBP/JPY. Today, the pound/yen has started showing the first signs of a reversal, but at the moment, it is still too early to say that the bears have completely taken control. On the hourly chart, indicators are in the process of forming a sell signal, with the MACD yet to confirm. The pair has now approached a test of the lower Bollinger Band, where a breakout or bounce will determine the near-term sentiment. It seems like a bounce is forming, but for short positions, it's advisable to wait for the test results before making a decision. In case of a favorable outcome for the bears, there is a possibility to open short positions with a target around 210.00-10 in the short term. On the four-hour chart, indicators continue to point north, but the Bollinger Band channel restructuring hints at a correction towards a test of its lower band, while one of the sub-indicators has stopped supporting the bullish sentiment. Therefore, I am considering a potential decline, but only within the scope of a pullback.