Gbpjpy ending a temporary pullback; weakness in view - Elliott wave analysis

Gregor Horvat Wavetraders

Hello traders,

GBPJPY is trading bearish from December of 2019, ideally unfolding a five-wave move, known as an impulse. We see waves 1, 2 and 3 completed, so latest recovery from the 123.94 low can only be a temporary wave 4 correction, which can face possible resistance and a bearish turn at the 132.8/134.7 area, where Fib. ratio of 38.2 and 50.0, and the former swing highs can play a decisive role in slowing down current bulls. Also, the upper corrective channel line can react as a resistance for the pair. That said, a break below the lower corrective channel line, and below the 127.29 level would be bearish for the pair.

GBP/JPY, 4h

Trade well,

The EW-Forecast team

You can subscribe to our webpage at EW-Forecast for more unique, and daily content. We also have a 7-day trial offer for FX services (1€) and for Crypto services (2€). Check it out!

Author

Gregor Horvat

Wavetraders

Experience Grega is based in Slovenia and has been in the Forex market since 2003.

EUR/USD hits two-day highs near 1.1820

EUR/USD picks up pace and reaches two-day tops around 1.1820 at the end of the week. The pair’s move higher comes on the back of renewed weakness in the US Dollar amid growing talk that the Fed could deliver an interest rate cut as early as March. On the docket, the flash US Consumer Sentiment improves to 57.3 in February.

GBP/USD reclaims 1.3600 and above

GBP/USD reverses two straight days of losses, surpassing the key 1.3600 yardstick on Friday. Cable’s rebound comes as the Greenback slips away from two-week highs in response to some profit-taking mood and speculation of Fed rate cuts. In addition, hawkish comments from the BoE’s Pill are also collaborating with the quid’s improvement.

Gold climbs further, focus is back to 45,000

Gold regains upside traction and surpasses the $4,900 mark per troy ounce at the end of the week, shifting its attention to the critical $5,000 region. The move reflects a shift in risk sentiment, driving flows back towards traditional safe haven assets and supporting the yellow metal.

Crypto Today: Bitcoin, Ethereum, XRP rebound amid risk-off, $2.6 billion liquidation wave

Bitcoin edges up above $65,000 at the time of writing on Friday, as dust from the recent macro-triggered sell-off settles. The leading altcoin, Ethereum, hovers above $1,900, but resistance at $2,000 caps the upside. Meanwhile, Ripple has recorded the largest intraday jump among the three assets, up over 10% to $1.35.

Three scenarios for Japanese Yen ahead of snap election

The latest polls point to a dominant win for the ruling bloc at the upcoming Japanese snap election. The larger Sanae Takaichi’s mandate, the more investors fear faster implementation of tax cuts and spending plans.

XRP rally extends as modest ETF inflows support recovery

Ripple is accelerating its recovery, trading above $1.36 at the time of writing on Friday, as investors adjust their positions following a turbulent week in the broader crypto market. The remittance token is up over 21% from its intraday low of $1.12.