FX.co ★ Elliott wave analysis of GBP/JPY for February 26, 2021

GBP/JPY peaked at 150.44 just above our ideal target at 150.27 and we have already seen a decline into the expected target area between 146.41 - 147.72. The ongoing correction should only prove to be a temporary set-back in the long-term uptrend where we are looking for a major upside target near 155.36.

A break above minor resistance at 149.17 will indicate that the correction in blue wave iv/ is complete and blue wave v/ higher towards 152.35 is unfolding.

R3: 149.17

R2: 148.95

R1: 148.35

Pivot: 148.16

S1: 147.72

S2: 147.55

S3: 147.10

Trading recommendation:

We took profit on our 50% long position from 142.27 at 149.10 for a nice 683 pips profit. We will re--buy GBP at 147.25 or upon a break above 149.17.