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Elliott wave analysis of GBP/JPY for February 14, 2020

analytics5e4633e601659.png

GBP/JPY only staged a minor dip to 142.12 before starting a new rally above 142.75 towards important resistance at 143.38. Once this resistance breaks, there is no more doubt that wave iv completed prematurely at 140.80 and wave v higher towards at least 149.11 is in progress.

Support is now seen at 142.75 and again at 142.42. Ideally the later will protect the downside or a new dip to 142.12 should be expected before a new attack on important resistance at 143.38 is launched.

R3: 144.12

R2: 143.67

R1: 143.38

Pivot: 143.12

S1: 142.87

S2: 142.51

S3: 142.12

Trading recommendation:

We bought GBP at 142.76 and have placed our stop at 141.20 but expects to raise it soon

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