It has turned into a great week for GBP/JPY after a small decline on Monday. It’s the best trade so far today. The pair has rallied for three consecutive days, boosted by the BOE minutes and the latest comments from the BOJ about more easing. It also comes at a time when risk appetite hasn’t been overly positive.
The longer-term trend is higher and it looks like the correction has run its course. I prefer buying dips in this pair in anticipation of an eventual move over 134.00