FX.co ★ Elliott wave analysis of GBP/JPY for April 20 - 2020

Short-term support at 133.69 continues to protect the downside. Therefore, the possibility for a spike above the peak at 135.72 looks likely. We favor a break below key-support at 133.69 confirming that wave iv has completed and wave v being in motion for a decline to below 123.99.

We must accept that as long as key-support at 133.69 is able to stay unbreached, a rally to above 135.72 may occur, but the odds for this outcome are low.

R3: 136.36

R2: 134.40

R1: 135.02

Pivot: 133.69

S1: 132.97

S2: 132.41

S3: 131.41

Trading recommendation:

We sold GBP at 134.35 with our stop placed at 135.50