GBP/JPY is consolidating before the next rally higher towards 143.25 and 144.55. Support at 141.70 will protect the downside for the next rally to 142.96 and 143.25 for the rally higher to 144.55.

A break below 141.70 will be of concern, but only a break below support at 140.81 will indicate red wave v and black wave iii already has completed and a more prolonged correction in wave iv is developing.

R3: 144.55

R2: 143.87

R1: 143.25

Pivot: 142.77

S1: 142.44

S2: 142.16

S3: 141.70

Trading recommendation:

We are long GBP from 140.12 with our stop placed at 141.55. We will take profit at 144.45