We are still awaiting a final dip closer to the 135.94 target where wave 2 will have corrected 70.7% of wave 1. The decline from 148.87 is followed by positive divergence indicating that a bottom soon may be in place.
From near 135.94 or upon a direct break above minor resistance at 137.48 we expect wave 3 to take over for a new rally that ultimately will take GBP/JPY back above 148.87.
R3: 138.74
R2: 137.79
R1: 137.48
Pivot: 137.12
S1: 137.01
S2: 136.63
S3: 136.25
Trading recommendation:
We will buy GBP at 136,15 or upon a break above 137.48.
