British Pound/Japanese Yen (GBPJPY) Day Chart
GBP/JPY Elliott Wave technical analysis
-
Function: Counter Trend.
-
Mode: Impulsive.
-
Structure: Gray Wave C.
-
Position: Orange Wave 4.
-
Direction next higher degree: Orange Wave 5.
Details
-
Gray Wave B of Orange Wave 4 appears to be complete. Now, Gray Wave C of Wave 4 is unfolding.
-
Invalidation Level: 208.092.
The GBPJPY Elliott Wave analysis on the daily chart indicates a counter-trend movement within a larger impulsive structure. The current wave pattern is labeled as Gray Wave C, which signifies that the market is in the final stage of a corrective phase. The mode is impulsive, demonstrating strong momentum in the ongoing wave. This wave position, Orange Wave 4, is part of a larger degree structure that will eventually progress into Orange Wave 5.
In this analysis, Gray Wave B of Orange Wave 4 is now considered complete. The market has transitioned into Gray Wave C, which is the final stage of Orange Wave 4. This indicates that the market is still in a corrective phase but is nearing the end of this correction. Once Gray Wave C is complete, the market is expected to resume its impulsive trend in Orange Wave 5.
The invalidation level for this wave structure is set at 208.092. If the market exceeds this level, the current wave count will be invalidated, and a new analysis will be required to reassess the market's direction.
Summary
The GBPJPY daily chart presents a counter-trend scenario, with Gray Wave C of Orange Wave 4 currently active. Gray Wave B has been completed, and the market is progressing through the final phase of correction before resuming the impulsive trend in Orange Wave 5. The wave count remains valid as long as prices stay below 208.092.
British Pound/Japanese Yen (GBPJPY) four-hour chart.
GBP/JPY Elliott Wave technical analysis
-
Function: Counter Trend
-
Mode: Impulsive
-
Structure: Navy Blue Wave 1
-
Position: Gray Wave C
-
Direction next higher degree: Navy Blue Wave 2
Details
-
Gray Wave B is considered complete. Now, Navy Blue Wave 1 of Gray Wave C is active.
-
Invalidation Level: 208.092.
The GBPJPY Elliott Wave analysis on the 4-hour chart shows a counter-trend movement, which indicates a corrective phase within a larger impulsive trend. The mode is impulsive, reflecting strong momentum in the current wave structure. The main structure in focus is Navy Blue Wave 1, which has started forming within Gray Wave C.
The analysis concludes that Gray Wave B has completed, transitioning the market into Navy Blue Wave 1. This wave is part of the larger Gray Wave C and represents a crucial phase shift from the corrective Wave B to the impulsive Wave C, continuing the corrective trend on this timeframe.
Looking forward, the next higher degree is Navy Blue Wave 2, which will follow after the completion of Navy Blue Wave 1. This phase will likely begin another stage in the ongoing counter-trend. Traders should expect further movement aligned with this wave structure as long as the wave count remains valid.
The invalidation level is set at 208.092. If prices exceed this level, the current wave count will be invalidated, requiring a reassessment of the market direction and wave structure.
Summary
The GBPJPY 4-hour chart analysis indicates the market is in a counter-trend mode with the impulsive formation of Navy Blue Wave 1 within Gray Wave C. Gray Wave B has completed, and the ongoing trend is expected to continue as long as prices remain below the 208.092 invalidation level.
GBP/JPY Elliott Wave technical analysis [Video]
As with any investment opportunity there is a risk of making losses on investments that Trading Lounge expresses opinions on.
Historical results are no guarantee of future returns. Some investments are inherently riskier than others. At worst, you could lose your entire investment. TradingLounge™ uses a range of technical analysis tools, software and basic fundamental analysis as well as economic forecasts aimed at minimizing the potential for loss.
The advice we provide through our TradingLounge™ websites and our TradingLounge™ Membership has been prepared without considering your objectives, financial situation or needs. Reliance on such advice, information or data is at your own risk. The decision to trade and the method of trading is for you alone to decide. This information is of a general nature only, so you should, before acting upon any of the information or advice provided by us, consider the appropriateness of the advice considering your own objectives, financial situation or needs. Therefore, you should consult your financial advisor or accountant to determine whether trading in securities and derivatives products is appropriate for you considering your financial circumstances.
Recommended Content
Editors’ Picks
EUR/USD challenges 1.0500 on Dollar's bounce
The US Dollar now picks up further pace and weighs on the risk-associated assets, sending EUR/USD to the boundaries of the key 1.0500 region and at shouting distance from its 2024 lows.
GBP/USD remains weak and puts 1.2600 to the test
GBP/USD remains on the back foot and now approaches the key support at 1.2600 the figure in response to the resurgence of the bid bias in the Greenback.
Gold faces extra upside near term
Gold extends its bullish momentum further above $2,660 on Thursday. XAU/USD rises for the fourth straight day, sponsored by geopolitical risks stemming from the worsening Russia-Ukraine war. Markets await comments from Fed policymakers.
BTC hits an all-time high above $97,850, inches away from the $100K mark
Bitcoin hit a new all-time high of $97,852 on Thursday, and the technical outlook suggests a possible continuation of the rally to $100,000. BTC futures have surged past the $100,000 price mark on Deribit, and Lookonchain data shows whales are accumulating.
A new horizon: The economic outlook in a new leadership and policy era
The economic aftershocks of the COVID pandemic, which have dominated the economic landscape over the past few years, are steadily dissipating. These pandemic-induced economic effects are set to be largely supplanted by economic policy changes that are on the horizon in the United States.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.