The GBPJPY market is still considered to be in a bullish trend on the daily chart as price remains lifted above the mean value. The recent momentum has taken pause after a strong power move – which most yen pairs experienced.
We can see price hovering above a clear support level on the daily chart, where any moves lower have been somewhat rejected by the bulls. This week the daily chart printed a bullish rejection candle plus an inside day combo as another move lower into support was heavily rejected.
With the mean value in close proximity, this creates a nice bullish ‘hot spot’ for buying opportunities – so this market could definitely push up higher off this setup.
