GBP/JPY: Current 136.59 (Sunday, March 7, 2010). 
Trend:  Correction during downtrend.

Please refer daily charts and not short-term charts e.g. hourly charts.

Last week we had mentioned “For longer-term trades we will be short-selling GBPUSD at every move upwards. We would expect the currency pair to move down to 132.80 and then possibly 131.80 levels in the coming weeks.”. Well, the pair moved as expected and went down to 132.01

Analysis:  There are not any stronger fundamental forces to direct the movement currently. The pair had touched its lowest levels of almost a year (since March 12th, 2009).
The currency pair should remain under downward pressure for some time but we expect GBP/JPY to move upwards to 138.00 or possibly 139.20 in the coming days before testing a low again. But there are no strong trade configurations and we will not be taking a longer-term position for this currency pair.

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For short term trades, please refer to daily technical analysis for GBP/JPY.