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Elliott wave analysis of GBP/JPY for May 19, 2021

analytics60a490777d286.jpg

GBP/JPY is now testing the target zone between 154.73 - 155.46. We should see wave iii/ complete in this resistance-zone and turn prices lower in a corrective decline in wave iv/ to at least 150.10 (the 23.6% corrective target). It may touch the 38.2% corrective target at 146.80 from where the next impulsive rally in wave v/ should be seen to 162.67 and maybe even higher.

A break below minor support at 153.47 will indicate that wave iii/ is complete and wave iv/ is in motion.

Trading recommendation:

Take profit here between 154.73 - 155.46 and re-buy GBP in the 146.80 - 150.10 support zone for the next rally to 162.67 or higher

The material has been provided by InstaForex Company - www.instaforex.com