Elliott wave analysis of GBP/JPY for November 24, 2020

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GBP/JPY broke easily above resistance at 139.02 invalidating the possibility of an expanded red wave b/ developing. Instead the break above 139.02 signaled that the correction from 140.19 completed at 137.16 and renewed upside pressure should be expected in the days and weeks to come for a revisit at the minor peak at 140.19 and a break above here will call for a continuation towards the former peak at 142.72.

Support is now seen at 138.71 and again at 138.44.

R3: 140.19

R2: 139.75

R1: 139.47

Pivot: 139.27

S1: 138.71

S2: 138.47

S3: 138.27

Trading recommendation:

We took 50% profit at 138.95 for a 100 pips profit and remains long 50% GBP from 137.95 and we have moved our stop higher to break-even. Further more we will re-buy 50% GBP at 138.60 if possible.

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