FX.co ★ Elliott wave analysis of GBP/JPY for January 22 - 2020

GBP/JPY spiked to a high of 143.97 before turning towards the downside again. We will look for a break below minor support at 143.19 and more importantly below support at 142.82 as confirmation that the final decline into target-zone between 139.29 - 139.83 is unfolding. Only an unexpected break above 143.97 will keep the correction from 142.77 alive, but resistance at 144.53 should not be broken under this scenario.

R3: 144.53

R2: 143.97

R1: 143.67

Pivot: 143.40

S1: 143.09

S2: 142.82

S3: 142.65

Trading recommendation:

We sold GBP at 143.65 and has placed our stop at 144.60.