FX.co ★ Elliott wave analysis of GBP/JPY for March 8, 2019

The failure to break back above minor resistance at 147.77 was disappointing for our bullish outlook. This does not mean, that our bullish view has been invalidated, but a less bullish alternate count, seems to be in the works.

Under this count, GBP/JPY will need to stay above support at 144.84 for a break above minor resistance at 146.18 to confirm the next impulsive rally higher to 148.57 and above.

A failure to stay above 144.84 will shift our count to a bearish outlook and call for more downside pressure towards 144.18 and maybe even closer to 141.41 - not our preferred outlook.

R3: 146.32

R2: 146.18

R1: 145.85

Pivot: 145.36

S1: 144.84

S2: 144.40

S3: 144.18

Trading recommendation:

Our stop at 146 was hit for a 285 pips profit. We will re-buy GBP upon a break above 145.85 and place our stop at 144.75.