FX.co ★ Elliott wave analysis of GBP/JPY for January 29, 2021

GBP/JPY continues to push higher and yesterday broke above the resistance-line going back to the 156.61 peak in late January 2018. As this is the last trading day of January a close above the resistance-line near 142.70 will confirm more upside pressure towards 147.96 as the next upside target and ultimately above the 156.61 peak.

Short-term support is seen at 142.72 and with strong support seen at 142.20 which we expect will protect the downside if tested.

R3: 145.61

R2: 144.96

R1: 143.65

Pivot: 143.05

S1: 142.72

S2: 142.20

S3: 141.60

Trading recommendation:

We are long GBP from 142.27 and we have raised our stop to 142.15.