GBPJPY – Weekly Chart | Potential Premium Short ScenarioGBP/JPYOANDA:GBPJPYSelena_FX_TraderHigher Timeframe Context On the weekly timeframe, GBPJPY has been trending strongly bullish, moving inside a clear ascending channel structure. The market has consistently formed higher highs and higher lows, showing sustained upward momentum over the past year. However, price is now approaching a higher-timeframe supply zone, marked as a Monthly Order Block around the 214–216 region. Areas like this often represent premium pricing relative to the previous trend leg, where selling pressure can sometimes appear. When markets approach major higher-timeframe supply zones after extended rallies, it is common to see temporary corrections or liquidity rotations before the broader trend resumes. Premium Short Scenario If price continues pushing upward into the Monthly Order Block, the zone may act as a potential reaction area. Key resistance zone 214.00 – 216.00 Reasons this zone is important: • Monthly Order Block / supply area • Upper boundary of the ascending channel • Premium pricing relative to recent weekly structure • Potential liquidity resting above recent highs This combination can sometimes create a short-term reaction or corrective move. Possible Price Development One possible market scenario could be: Price pushes slightly higher into the Monthly Order Block zone. Liquidity above recent highs may be taken. A corrective move develops as the market rotates toward lower imbalance areas. Such moves are common when price reaches major higher-timeframe supply levels. Potential Downside Liquidity Areas If a reaction develops from the premium zone, nearby areas of interest may include: Area 1 203.00 – 205.00 Weekly Fair Value Gap + Order Block zone. Area 2 188.00 – 191.00 Lower weekly imbalance and previous demand reaction. These zones represent discount areas relative to the current premium pricing. Confirmation Factors Traders Often Watch Rather than anticipating a reversal, traders sometimes wait for confirmation such as: • Bearish rejection candles inside the supply zone • Lower-timeframe structure shift • Failure to hold above recent highs • Retest of supply acting as resistance Alternative Scenario (Bullish Continuation) If price breaks and holds above the Monthly Order Block, the bearish scenario may weaken. In that case, GBPJPY could continue higher toward new highs above the channel, where additional liquidity may exist. Summary The weekly chart shows a strong bullish trend approaching a major higher-timeframe supply zone. A possible scenario is: Price taps the Monthly Order Block (214–216) and produces a corrective move toward lower imbalance zones before the market decides its next direction. Disclaimer: This analysis is for educational purposes only and represents a possible market scenario, not financial advice. Always conduct your own research and manage risk appropriately.