2025/08/27 GBP/JPY Trade Strategy

Today's GBP/JPY call: Buy.

On the 15-minute timeframe I’m looking at buying the dip, but on the 1-hour this is a price zone where retracement selling tends to come in.
That said, given the situation on the 4-hour and daily charts, I feel an upside break looks fairly likely, so I’m going with a buy strategy.

Scenario A
The green line at 199 has been acting as resistance all along.
Once it breaks, it looks likely to become strong support.
If price breaks through here, it looks like things could start moving on the daily chart too.
Target is 199.5

Scenario B
The pattern where price comes back for one more pullback before breaking higher.
I’m considering the pink line around 198.8 as a candidate, but the neckline of the 1-hour double bottom appears a bit lower.
I’ll allow a margin down to around 198.7.
The target is also 199.5, but breaking through 199 is the first goal.

Scenario C
If price breaks below the pink line, I’ll consider selling.
It depends on how the chart looks at that point, but I have a feeling that selling from 198.8 as the starting point will be difficult.
Target is 198.5

Review

It was Scenario B.

Long from around the red circle, where the short-term decline stalls.
Aiming for a break above the upper limit, but exit when price fails to break through and starts turning down (making lower highs). 15 pips