The GBPJPY daily chart indicates a bullish trend, with price action currently in impulsive mode. This upward momentum is driven by navy blue wave 1, part of a larger gray wave 3. This structure implies the pair is in the early stages of a broader bullish phase.

Wave analysis shows navy blue wave 1 nearing its end within gray wave 3. This early wave typically marks the start of a new trend. The expected next move is navy blue wave 2, which is usually a corrective retracement after the impulsive wave completes.

The technical outlook suggests GBPJPY is set for continued gains as navy blue wave 1 continues within gray wave 3. The impulsive nature of this move indicates strong institutional buying and potential price increases in upcoming sessions as the wave completes.

GBP/JPY Elliott Wave analysis

Function: Bullish Trend.

Mode: Impulsive.

Structure: Orange wave 5.

Position: Navy blue wave 1.

Direction (Next Lower Degree): Navy blue wave 2.

Details: Orange wave 4 has likely completed; orange wave 5 is now in motion.

The GBPJPY 4-hour chart highlights a bullish trend, with the market in impulsive mode. The current wave is orange wave 5, part of navy blue wave 1. This signals the final phase of an advancing impulse wave within a broader bullish cycle.

The analysis indicates orange wave 4 has ended, giving way to orange wave 5. This final impulsive wave often sees strong price movement. The expected next move is navy blue wave 2, likely a corrective step after the completion of the fifth wave.

The current structure suggests GBPJPY is near the end of its upward move, with orange wave 5 active. Despite continued buying strength, caution is advised as this wave may soon transition into a corrective phase.

GBP/JPY Elliott Wave analysis [Video]

Author

Peter Mathers

TradingLounge

Peter Mathers started actively trading in 1982. He began his career at Hoei and Shoin, a Japanese futures trading company.

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