Nov 21, 2025 GBP/JPY Trade Strategy

Today's GBP/JPY call: Buy.

Price has climbed quite far already, so I think the momentum will start to fade, but I’m still looking to buy.
In the short term it’s a range, and if price breaks below the current level I’ll consider selling too.

Scenario A

The current range leans more toward selling, but it doesn’t feel like a situation where you can actually sell.
It’s a choice between buying around Line B or buying once price breaks above Line A.
Buying after a break above Line A might be the more reliable option.
Target is around the recent high of 206.7

Scenario B

Buying right at Line B is also an option.
I think there’s a good chance price heads higher again, so the idea is to take a position and either leave it or set a limit order.
The target is the same as Scenario A.

Scenario C

If price breaks below Line B, you can sell short-term.
I’m aiming for around the lower marker.
After that, I think there’s a good chance it ranges and then rises again.

The market is no longer in an environment where it keeps rising steadily, so the scenarios are short-term ones as well.

Review

It turned out to be Scenario C.

In the first half, it’s fine to judge it as a buy and go long from ○1 in Scenario B.
However, once price drops, the basis for buying is gone, so take a breakeven exit on the retracement that follows.

From there, switch to a bearish bias and go short from ○2, where the retracement high gets capped.
Shorting from the S/R below the blue line right after ○2 is also OK.

Price breaks through the green target line, so take profit where it stops falling near the blue line below it. 77 pips
Alternatively, you could hold until a clear double bottom forms.
In that case, take profit where the double bottom forms at the pink line around 204.5. 120 pips