Elliott Wave view: GBP/JPY correction can extend [Video]
|Short term Elliott Wave in GBPJPY suggests cycle from 12/3/2021 low has ended as wave ((1)) with the rally to 168.7. Wave ((2)) pullback is currently in progress to correct cycle from December 2021 low. Internal subdivision of wave ((2)) is unfolding as a double three Elliott Wave structure. Down from wave ((1)), wave A ended at 161.31 and rally in wave B ended at 163.8. Pair then extended lower in wave C towards 159.96 and this completed wave (W).
Wave (X) rally ended at 167.856 with internal subdivision as a zigzag structure. Up from wave (W), wave A ended at 166.22 and pullback in wave B ended at 164.44. Final leg higher wave C ended at 167.85 which also completed wave (X). Pair has started to turn lower in wave (Y). Down from wave (X), wave ((a)) ended at 164.63. Expect rally in wave ((b)) to correct cycle from 6/22/2022 high before the decline resumes. Near term, while pivot at 167.85 high and more importantly at 168.7 remains intact, expect rally to fail in 3, 7, or 11 swing for further downside. Potential target lower for wave (Y) is 100% -123.6% Fibonacci extension of (W) which comes at 157 – 159.1 area.
GBP/JPY 60 minutes Elliott Wave chart
GBP/JPY Elliott Wave video
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.