Elliott wave analysis of GBP/JPY for April 7 - 2020

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GBP/JPY is locked in a trading range between 132.70 - 134.72. As long as short-term important support at 132.70 is able to protect the downside, the possibility for a final spike to 134.72 and to 135.34 and maybe even closer to 137.24 looks possible

If, however short-term important support at 132.70 is broken, that will indicate wave iv has completed and wave v to below 123.99 is unfolding. This should be the last decline in the major decline cycle from 156.66 and once the low is in place a new major rally towards at least 156.66 may occur.

R3: 134.72

R2: 134.08

R1: 133.66

Pivot: 133.08

S1: 132.70

S2: 132.10

S3: 131.43

Trading recommendation:

We sold GBP at 134.40 with our stop placed at 135.40

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