FX.co ★ Elliott wave analysis of GBP/JPY for July 14, 2021

We continue to look for more upside progress towards the long-term target at 159.75 this should complete wave iii and set the stage for a larger corrective decline, but for now our focus remains towards the upside and a break above minor resistance at 153.38 and more importantly a break above resistance at 153.54 that confirms wave iv/ has completed and wave v/ towards 159.75 is in motion.

Only an unexpected break below support at 150.66 will extend the correction in wave iv/, but the potential downside should be very limited.

Trading recommendation:

Buy GBP and place your stop just below 150.66