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Elliott wave analysis of GBP/JPY for February 26, 2019

analytics5c74d1551200d.png

GBP/JPY has finally broken clearly above resistance at 144.92 confirm our bullish outlook for a rally higher to 145.92 and 149.41 on the way higher to wave iii extension target at 151.50. Support is now seen at 145.32 and again at 144.89, which ideally will protect the downside for a continuation higher to 149.41 and above.

That said, we do see some weakness in this rally and a break below support at 144.67, will call for an alternate count, that calls for a dip to key-support at 143.75 before turning higher again.

R3: 148.24

R2: 147.23

R1: 146.32

Pivot: 145.97

S1: 145.33

S2: 144.89

S2: 144.67

S3: 144.33

Trading recommendation:

We are long GBP from 143.15 and we will raise our stop to 144.50.

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