GBP/JPY Bears Test 200-Day SMA as Yen Rally Fades
The Japanese Yen (JPY) has given back some of its recent rally as GBP/JPY rises on Tuesday, but experts warn that the support from US intervention is limited and only temporary.
According to analysts at MUFG/BTMU, joint FX intervention with Japan may help steady the currency in the near term, but it can only buy time. They expect a change in fundamentals to encourage a sustainable reversal of the Yen weakening trend that has been in place over the last five years.
The near-term technical picture for GBP/JPY has turned bearish, with the pair decisively below the 100-day Simple Moving Average (SMA) at 214.45 since April 2025. The 200-day SMA at 211.75 is now being tested.
On the daily chart, the Relative Strength Index (RSI) near 30 hints at oversold conditions and the Moving Average Convergence Divergence (MACD) remains deeply negative, reinforcing selling pressure.