Home GBP/JPY Elliot Wave Analysis: Sharp intraday weakness puts A-B-C in play towards 148.40 and 147.40
Daily Look

GBP/JPY Elliot Wave Analysis: Sharp intraday weakness puts A-B-C in play towards 148.40 and 147.40

GBPJPY is reversing sharply down after reaching a new high above 153.00 which makes us think that higher degree impulsive is finished and that new corrective set-back is unfolding. Corrections are always made by a minimum three legs; A-B-C move, so it makes sense for us to expect even lower prices in the near-term if we consider that drop is impulsive, thus wave A that will bring more weakness later after wave B rally. Normally, when correction occurs, the price can return back to the former wave four, meaning we may see weakness to 148.40 or maybe even towards 147.40 levels. We would avoid any long positions for now, as these should wait untill A-B-C move is completed.

Gregor Horvat

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!