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• The GBP/JPY currency pair rose to highs not seen since 2007 at 199.90.
• The daily RSI indicated overextended buying momentum, suggesting a pending technical correction.
• The hourly indicators appeared to have already started to consolidate.

In Friday’s session, the GBP/JPY pair experienced upward momentum, rising by 0.37%. Additionally, the pair reached multi-year highs, a clear indication of the stronghold buyers had within the market. While a near-term technical correction could potentially occur in the coming days due to the overbought condition, the overall outlook remained bullish for the cross.

On the daily chart, the Relative Strength Index (RSI) moved deep into overbought territory. The persistently high values hinted at strong buying sentiment, but they also seemed to suggest a potential future correction. The Moving Average Convergence Divergence (MACD) revealed flat green bars, indicating positive momentum despite the relatively stable trend, which may suggest that the pair could consolidate.

GBP/JPY Daily Chart

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When examining the hourly chart, the RSI revealed noticeable ebbs and flows, as the latest value stood at around 61. Although still positive, this level appeared somewhat less intense when compared to the daily chart. The hourly MACD histogram continued to display flat green bars, indicating steady positive momentum which mirrored its daily counterpart.

GBP/JPY Hourly Chart

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From a broader outlook, the GBP/JPY pair's position relative to its Simple Moving Averages (SMAs) helped to clarify the overall trend. The pair stood above the 20-, 100-, and 200-day SMAs, reflecting a bullish outlook for both short- and long-term scenarios.

GBP/JPY Technical Levels

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