GBPJPY has been trading choppy and overlapping in a higher degree wave 4 in June and found a top In July, at the 149.31 to be specific. We can see that price dropped nicely from the highs, which gave us thinking maybe a new drop in five-waves can be in play for the pair. If that is the case, then three more waves may follow, ideally towards the Fibonacci ratio of 161.8 as we also see the former correction in blue wave ii at the 147.13 level finished. A drop through the lower channel line can now confirm a bearish continuation towards 141.30 region.
For more information check the video below, where we also cover the EURUSD.