FX.co ★ Elliott wave analysis of GBP/JPY for February 25, 2021

GBP/JPY is testing the next minor upside target near 150.28 which we expect will be able to cap the upside temporarily for a correction into the support-area between 146.41 - 147.72 from where a new impulsive rally higher to 154.99 is expected.

Short-term we see minor support at 149.15 and a break below here, will indicate that blue wave iii/ has peaked and a correction/consolidation in blue wave iv/ is evolving.

R3: 152.70

R2: 151.87

R1: 150.64

Pivot: 150.28

S1: 149.79

S2: 149.15

S3: 148.84

Trading recommendation:

We are long GBP from 142.27 and we will raise our stop to 149.10.