The GBP/JPY pair continues its strong uptrend, reaching a new multi-year high in early Monday trading. This marks the highest level seen since 2008. The yen has been weakening against major currencies due to a dovish Bank of Japan, despite talks of intervention to support the falling currency.
The price has surpassed the key psychological level of 200, along with the Fibonacci 61.8% retracement of the 2007/2011 downtrend. This shows bullish momentum, with targets set at 205.62 and 206.45. Overbought conditions on the daily chart suggest a possible pause in the uptrend soon.
Support is seen at the rising 10-day moving average of 202.32, with lower levels at 201.00 and 200.00. However, intervention by Japanese authorities could lead to a sharp decline in the pair.
Key resistance levels are at 204.27, 205.62, 206.45, and 207.80, while support levels are at 203.17, 202.32, 201.00, and 200.00.