GBP/JPY 4H Chart: Channel Down

The first monthly supply level, the pivot point at 162.21, is not a problem for the bulls any more, as this line was crossed last week. Now the focus is turned to the 200-period SMA at 163.78. The goal of violating this resistance is expected to be accomplished successfully, as there are no additional technical levels able to contain the rally. However, as soon as the 167 mark is met, there is going to be a good selling opportunity on the Pound's side. Such a scenario is agreed by the technical indicators, with 4H ones pointing to the North and weekly ones indicating to the downside. As for the SWFX market sentiment, traders are divided on the matter of GBP/JPY's future, meaning we cannot rule out a surge past 167.