We have been witnessing serious Elliot waves going on GBPJPY on the downward trend, and a complete full cycle of 1,2,3,4,5 waves and A,B,C corrective waves has been formed.
And now we are at the start of a new cycle in the upward trend starting with a big first wave on Daily time frame, and a fractional 1,2,3,4,5 waves on 4 hours time frame (as shown in figure) .
What is the most probable scenario ?
- The most probable scenario is reaching a higher high to end the fifth wave at around 163.00 (+/- 20 pips)
. Then the corrective waves (A,B and C)
will form a retracement around the 161.30/50
area. Then we wait for a confirmation of the big new third wave on daily that will take place also as fractions on the 4hour time frame
to reach a new high of maybe levels of 168.00
- Wait for . . . Read more