GBP/JPY moved higher from the low at 139.65. The break above minor resistance at 140.37 will indicate that blue wave ii has completed and blue wave iii towards 143.19 is developing. It may reach 144.58.
Support is now seen at 140.15 that may protect the downside for the expected rally higher towards 141.58 and 143.19 on the way higher towards 144.58. Only an unexpected break below 139.65 will extend the correction in blue wave ii.
R3: 141.58
R2: 140.94
R1: 140.54
Pivot: 140.37
S1: 140.15
S2: 139.84
S3: 139.65
Trading recommendation:
We are long GBP from 140.12 with our stop placed at 139.30. If you are not long GBP yet, then buy a break above 140.37 and use the same stop at 139.30.
