2025/06/25 GBP/JPY Trade Strategy

Today's GBP/JPY call: Buy.

The 15-minute chart has stalled at an awkward level and there’s no clear direction.
On the 4-hour chart (H4), I think the pullback would be somewhere around the lower blue line, but the pullback is a bit shallow.

Scenario A
If price breaks above the yellow line around 197.6, I’ll look at buying the dip.
Target is around 199.

Scenario B
If you see the current range as a pause in the uptrend on the daily chart and the 4-hour chart (H4), it’s fine to just buy already.
I think the range low is the blue line around 196.9, but price has stalled at the 197 round number several times, so a move up from there is also possible.
If you buy around 197, with a stop loss below the blue line and take profit at the recent high around 198, the risk-reward is good.

Scenario C
If price breaks below the blue line, I’d sell for now.
Target is around 196.2, but it may eventually reach as far as around 195.9.

Review

It turned out to be Scenario B.
If you were setting up a long at the point when I posted the morning chart, that would be the first red circle.
Buying the small pullback after the price started turning up (making higher lows) is the second red circle.
Since the turn up suggests the price will rise a little for now, the second red circle may be the easier entry.

After entry, the price climbs without forming any notable pullback, and I take profit around where it breaks above the blue line at 198.3 and starts to look like a double top. 100 pips
With a data release coming up, it’s a good spot to close out.