GBP/JPY daily chart, July 28, 2016

GBP/JPY Forecast July 28, 2016, Technical Analysis

The GBP/JPY pair rallied during the day on Wednesday, but turned back around and form a slightly exhaustive candle. Nonetheless, I think the 135 level is massively supportive, so pullbacks should offer short-term buying opportunities. If we did break below the 135 handle, I think that would be the time to start selling. In the meantime, keep in mind that the Bank of Japan is willing to intervene against the Yen if we fall too far, but I am the first person to admit that it will more than likely be in the USD/JPY market, and any reaction over here would be a bit of a sympathy move.