Elliott wave Analysis: GBPUSD and USDJPY

Intermediate

Hello traders today let’s take a look at GBPUSD and USDJPY pairs.

GBPUSD made a nice five-wave drop from the 1.321 level, which is a sign of a completed higher degree wave C, and that a new bearish cycle is in play. We know that after a five-wave price development fully unfolds, a three-wave correction follows which can in our case look for resistance and a bearish reversal near the 1.299/1.300 region, or area of Fibonacci resistance ratios of 38.2/50.0.

GBPUSD, 4h

4h gbpusd feb 13 2019

USDJPY keeps moving higher, now also supported by a new push up on US stocks yesterday. Technically speaking we still see USDJPY in wave C that broke out of a triangle so upside can be limited, but its important to see a drop back below 110.45. Also from my experience, if you see straight moves from Sunday open till Wednesday, then it is worth to consider that market may slow down or even reverse in the second part of the week.

USDJPY, 1h

usdjpy intra

Gregor Horvat

Elliot Wave Technical Analyst

Gregor Horvat is based in Slovenia and has been in the Forex market since 2003. He has been working for Capital Forex Group and TheLFB.com.

He is the owner of www.ew-forecast.com, which prov...continued

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