Elliott wave Analysis: USDJPY and GBPUSD

USDJPY is bearish, unfolding the final leg 5) of a bigger impulsive wave C. On that note, be aware that we are observing the final stages of a higher degree wave C, which means that despite the current sharp decline, the downside can be limited around the 109.00 region, from where bulls could again pick to a higher price. The triangle thrust projection target at 109.45 has been reached, so bears can start to slowdown.

USDJPY, 1h

GBPUSD made a sharp reaction higher in the last couple of trading sessions and can now be unfolding an extended wave 5 of a higher degree, with blue sub-wave three in action. This sub-wave three can slow down near the 1.427 level, where Fibonacci projection of 261.8 sits. Once this happens, a new temporary retracement into blue wave iv may start to develop, with a potential support being offered near the upper portion of the base channel line.

GBPUSD, 30min

Gregor Horvat

Grega Horvat Grega is based in Slovenia and has been involved in markets since 2003. He is the owner of Ew-Forecast, but before that he was working for Capital Forex Group and TheLFB.com. His feature articles have been published on FXstreet.com, Thestreet.com, Action forex, Forex TV, Istockanalyst, ForexFactory, Fxtraders.eu, Insidefutures.com, etc. He recently won the award on FXStreet.com for Best Forex Analysis in 2016. At Ew-forecast he helps clients and educates them about the Elliott wave principle and how to label and track unfolding patterns in real time. His approach to the markets is mainly technical. He uses a lot of different methods when analyzing the markets such as candlestick patterns, MA, technical indicators etc. His specialty, however, is Elliott Wave Theory which could be very helpful especially if you know how to use it in combination with other tools/indicators. EW-Forecast To be involved in the market effectively, you need the right guidance and resources, and our team can help you to achieve that. Our team is providing advanced informations about Elliott Wave theory in real time. The Elliott Wave Principle gives you a method for identifying the behavior of the markets and at what points the market is most likely to turn. We help new traders who are interested in Elliott Wave theory to understand it correctly. We are doing our best to explain our views as simple as possible with educational goal, because knowledge itself is power!

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