Timeframe: 1H | 🎯 Bias: Bullish Breakout
GBPJPY is testing a key Fibonacci retracement zone (0.5–0.618) from the recent impulse leg (194.00 → 196.195). This golden pocket sits inside strong demand and could launch the next leg higher.
🔍 Technical Confluence
Fib Support Zone: 195.270–195.447 (0.618–0.5)
Price Action: Consolidating near golden pocket, showing rejection wicks
Structure: Higher highs and higher lows intact
RSI: Resetting around 45–50, leaving room for momentum buildup
Next Resistance: 196.200 (previous high), then 197.300 and 198.500
🧠 Fundamental Confluence
GBP Strength Drivers:
BoE's "hawkish cut" tone — restrictive policy to fight sticky inflation
UK macro improving: upcoming GDP & labor data could surprise to the upside
Market pricing less aggressive easing compared to peers = GBP premium
JPY Weakness Factors:
COT RSI at 100% = overbought positioning
BoJ delays normalization to 2027
Risk-on flows (VIX ~16.7) reducing safe-haven demand
Macro Flows: Bullish NASDAQ + stable oil → support GBPJPY upside
Macro Themes:
Oil & NAS100 bullish = supports GBPJPY upside
Market unwinding defensive positions = bullish for GBPJPY
🛠 Trade Plan
📥 Entry Option 1: Buy on bullish reaction from 195.27–195.45 (Fib golden pocket)
📥 Entry Option 2: Break and close above 196.200 (confirmation entry)
🛑 Stop Loss: Below 195.00 (under Fib + recent structure)
🎯 TP1: 196.80
🎯 TP2: 198.00 (measured move)
📌 “Golden pockets don’t lie when fundamentals align.”
GBPJPY is testing a key Fibonacci retracement zone (0.5–0.618) from the recent impulse leg (194.00 → 196.195). This golden pocket sits inside strong demand and could launch the next leg higher.
🔍 Technical Confluence
Fib Support Zone: 195.270–195.447 (0.618–0.5)
Price Action: Consolidating near golden pocket, showing rejection wicks
Structure: Higher highs and higher lows intact
RSI: Resetting around 45–50, leaving room for momentum buildup
Next Resistance: 196.200 (previous high), then 197.300 and 198.500
🧠 Fundamental Confluence
GBP Strength Drivers:
BoE's "hawkish cut" tone — restrictive policy to fight sticky inflation
UK macro improving: upcoming GDP & labor data could surprise to the upside
Market pricing less aggressive easing compared to peers = GBP premium
JPY Weakness Factors:
COT RSI at 100% = overbought positioning
BoJ delays normalization to 2027
Risk-on flows (VIX ~16.7) reducing safe-haven demand
Macro Flows: Bullish NASDAQ + stable oil → support GBPJPY upside
Macro Themes:
Oil & NAS100 bullish = supports GBPJPY upside
Market unwinding defensive positions = bullish for GBPJPY
🛠 Trade Plan
📥 Entry Option 1: Buy on bullish reaction from 195.27–195.45 (Fib golden pocket)
📥 Entry Option 2: Break and close above 196.200 (confirmation entry)
🛑 Stop Loss: Below 195.00 (under Fib + recent structure)
🎯 TP1: 196.80
🎯 TP2: 198.00 (measured move)
📌 “Golden pockets don’t lie when fundamentals align.”
Trade closed: target reached
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.