After approaching the lower boundary of a dominant channel, the British Pound began to appreciate against the Japanese Yen.
The currency pair bounced off the bottom boundary of a junior pattern on March 2 and the GBP/JPY exchange rate is gradually moving upwards for a likely re-test of the February 2 high at 156.65.
In general, two scenarios are likely during the following trading sessions. First, the currency pair might move past the weekly R1 and the monthly R1 at 151.59 and continue it smooth journey north. Second, the currency exchange rate might reverse from 151.61 to test a support level set by the 55-hour simple moving average at 150.38.
