GBP/JPY takes a breather from a two week high but could regain strength upon hawkish commentary from BOE's policymaker

GBP/JPY marginally cooled off after hitting the highest level in past two weeks at 192.55. However sterling can retrieve back as there's an immediate support at 20 SMA and 8 SMA on Daily at 190.12 and 190 respectively. The relieving bit is the rising trendline commencing from a low of August 2024, joining the higher lows and signaling further potential upside. Additionally, an inverted head and shoulder pattern in formation on the daily timeframe is fueling expectations for the pair to target the psychological level of 194.00. Before that it could first face hurdle at the resistance zone of 192.50-193.50 along with the 55 SMA acting as a dynamic resistance. A successful breach of that level could cause the Sterling to strengthen against Yen.

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