GBPJPY triggers bearish triangle patternThe Bank of England (BoE) has reduced its interest rate by 0.25 percentage points to 4.5%, marking the third cut since August. This decision reflects concerns over economic stagnation and persistent inflation. Concurrently, the Bank of Japan (BoJ) has increased its short-term policy rate from 0.25% to 0.5%, the highest level in 17 years, signaling confidence in achieving its 2% inflation target.
These contrasting monetary policies have exerted pressure on the GBP/JPY currency pair, which has recently broken through a triangle pattern, indicating a potential sharp decline of approximately 1,000 pips.
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