The GBP/JPY cross has been trading in a descending triangle pattern since August, currently down 0.56%. In an interview with Bank of Japan Governor Kazuo Ueda, the Japanese Yen (JPY) rose against the British Pound, indicating a quiet exit by the central bank to minimise market impact.

The 50-hour EMA is approaching a crossing below the 100-hour EMA as the GBP/JPY cross is below both the 50- and 100-hour EMAs. A Bear Cross would be confirmed by a clear crossover on the four-hour chart.

GBP/JPY’s first resistance level is 184.40, followed by 185.35 and 186.00, with the top of the descending triangle pattern and August 23 high as potential continuation purchasing stops.

Breaking below the 183.10 lower limit of the descending triangle pattern will cause a drop to 182.55, 182.35, and a psychological round mark at 182.00. Below 50, the Relative Strength Index is bearish, indicating additional downward movement.

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