Elliott wave analysis of GBP/JPY for January 14, 2019

analytics5c3c20218a37e.png

Key support at 137.59 remains intact, but GBP/JPY looks like it has lost the upside momentum for now and a correction in wave ii is developing. Under this count, we should see a break below key support at 137.59 soon for a decline into the corrective target-area between 134.04 – 135.17 before the next impulsive rally will be ready to take over.

The upcoming Brexit vote on Tuesday will increase uncertainty and the volatility, so trade in accordance with this increased volatility.

R3: 139.57

R2: 139.16

R1: 138.95

Pivot: 138.60

S1: 138.35

S2: 137.94

S3: 137.46

Trading recommendation:

We will be looking for a possible buying opportunity in the 134.04 - 135.17 area.

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