Snapshot: GBP/JPY is trading at 215.26 (+0.20%) after a quiet overnight session. The pair is underpinned by the Bank of England’s cautious stance, with the MPC reluctant to signal a cut path. All eyes are on BoE Gov Bailey’s speech at 15:00 London, with markets keen for any further clues on the Bank’s thinking.
- Watch for a break above intraday highs of 215.32, which would open a path to test recent peaks.
- A hawkish surprise in Bailey’s comments could see the pair squeeze shorts given current positioning.
Bias into NY: Mildly bullish, with potential for further upside if Bailey reiterates the data-dependent stance; a push above 215.50 would confirm momentum, with US yields currently offering only a modest headwind.