2025/10/27 GBP/JPY Trade Strategy

Today's GBP/JPY call: Buy.

The weekly chart closed with a bullish candle, and it looks like price could keep rising this week.
If so, we can expect the daily chart to move up at least to the recent high.
On the 15-minute chart (M15), I’ll wait for a reversal within the range.

Scenario A

If price breaks above the M15 high, I’ll treat it as a range breakout and look for buying the dip.
Target is 204.7, and 205.2 if it breaks above that.

Scenario B

This scenario assumes a bounce from around the current price zone.
Since it’s a range, I’ll only enter after clearly confirming downside stalling.
Targets are the same as Scenario A.

Scenario C

If price breaks below the B line, I’ll consider a scenario where it might drop to the 1-hour range low.
In that case, the strategy is to go after the drop to around 203.2.
However, there isn’t much room to run down to the range low, so it might be better to aim for a long when price drops to around 203.2 and then rises again.
Of course, there’s also a chance it breaks below 203.2 and turns into a downtrend, so with that possibility in mind, Scenario C is a short.

Review

It was Scenario B.

The first trade was a long from ○1, the timing where price was turning up (making higher lows) near the B line.
I took profit as price came down from around the recent high. 30 pips

After that, price dropped back to the B line again, but since it had made a short-term bearish shift, I waited and saw, then went long from ○2, the pullback after price showed another upward move.
I held this one expecting a breakout, but closed out when it failed to extend and lost momentum. 30 pips