2026/05/08 GBP/JPY Trade Strategy

Today's GBP/JPY call: Sell.

The situation hasn’t changed much from yesterday, but since price has already risen to the yellow line once, it feels like it’s become easier for it to drop.
That said, looking at the 1-hour chart alone, you could also call it a buy setup, so it’s tricky in a lot of ways.
If it turns down (making lower highs) without breaking above B, sell. Or sell after it breaks below C.

For buys, the idea is a short-term trade targeting a pullback after it breaks above B, but I think there’s selling pressure from the yellow line, so I don’t feel there’s any need to force it.
If it breaks above the yellow line, I’ll switch to buying.

Review

No trade

Price went up, but there was no spot to get in with a good setup.

Looking at the boxed area on the 5-minute chart (M5), there are signs of a break above the upper limit, so entering once it breaks out is a valid option.
A move above this yellow line would also mean a bullish shift on the 1-hour chart (H1), so it’s worth targeting.