We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

Free Trading Guides
EUR/USD
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
GBP/USD
Bullish
USD/JPY
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Gold
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Oil - US Crude
Mixed
Bitcoin
Bearish
More View more
Real Time News
  • Forex Update: As of 05:00, these are your best and worst performers based on the London trading schedule: 🇯🇵JPY: 0.19% 🇨🇭CHF: 0.05% 🇪🇺EUR: 0.03% 🇬🇧GBP: -0.10% 🇦🇺AUD: -0.31% 🇳🇿NZD: -0.49% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/B5s24o9414
  • Indices Update: As of 05:00, these are your best and worst performers based on the London trading schedule: Wall Street: -0.98% US 500: -1.04% France 40: -1.20% Germany 30: -1.24% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/smh3lrHlFA
  • AUD/USD Technical Analysis: Aussie Dollar Drop Ends Rebound - https://www.dailyfx.com/forex/technical/home/analysis/aud-usd/2020/01/27/AUDUSD-Technical-Analysis-Aussie-Dollar-Drop-Ends-Rebound.html?CHID=9&QPID=917708&utm_source=Twitter&utm_medium=Spivak&utm_campaign=twr #AUDUSD #technicalanalysis https://t.co/NFK3zlXtVX
  • The exponential moving average (EMA) is a derivative of the simple moving average (SMA) indicator. Compared to the SMA, the EMA weighs recent price changes more heavily than later changes in price. Learn how to incorporate the EMA into your strategy here: https://t.co/w48c0y1yKv https://t.co/3mZ290WMCJ
  • The US Dollar may rise with $USDIDR, $USDSGD, $USDPHP and USD$MYR as #coronavirus contagion fears hurt emerging markets. The #Fed and its repo operations will be closely watched #ASEAN - https://www.dailyfx.com/forex/fundamental/article/special_report/2020/01/27/USD-May-Rise-as-IDR-SGD-and-PHP-Fall-on-Coronavirus-Fears-and-Fed.html?CHID=9&QPID=917702 https://t.co/xMxoEifAIU
  • Commodities Update: As of 03:00, these are your best and worst performers based on the London trading schedule: Silver: 0.61% Gold: 0.52% Oil - US Crude: -2.46% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/EaP6sqAf6A
  • Forex Update: As of 03:00, these are your best and worst performers based on the London trading schedule: 🇯🇵JPY: 0.25% 🇪🇺EUR: 0.05% 🇨🇭CHF: 0.04% 🇬🇧GBP: -0.11% 🇦🇺AUD: -0.29% 🇳🇿NZD: -0.53% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/J28cZ72K8a
  • LIVE NOW: Join @IlyaSpivak to discuss the outlook for the financial markets in the week ahead! Sign in here - https://www.dailyfx.com/webinars/889679267 #markets #trading #coronarovirus #FOMC #BOE
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 97.55%, while traders in Germany 30 are at opposite extremes with 79.14%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/QbAiygT28A
  • The GBP may fall as Brexit commences, but will the Bank of England cut rates? The US Dollar could rise if the Fed spooks markets with plans to unwind repo operations. Get your $GBPUSD market update from @ddubrovskyFX here: https://t.co/ezHK7Fgzy2 https://t.co/8jXmfKnKwq
Bulls Excited About GBP/JPY Longer Term Elliott Wave Pattern

Bulls Excited About GBP/JPY Longer Term Elliott Wave Pattern

2017-12-27 09:09:00
Jeremy Wagner, CEWA-M, Senior Strategist
Share:

Talking points

-GBP/JPY appears to be in the ‘c’ wave of a bullish zigzag pattern

-Though a dip to 146 cannot be ruled out, longer-term pattern targets 163

-A break down below the trend channel suggests the zigzag may have already ended

New to trading FX?We created this guide just for you.

The longer-term view of GBP/JPY is that the trend is higher in a bullish zigzag. We appear to be more than halfway through the zigzag as we are in the ‘c’ wave of the a-b-c move.

Bulls Excited About GBP/JPY Longer Term Elliott Wave Pattern

The ‘b’ wave of the zigzag is counting as a triangle pattern. Therefore, we are anticipating a five-wave motive wave bursting higher from the August 2017 low. It appears we have the first of those five waves in place, labeled (i) and GBP/JPY is correcting sideways in a wave (ii).

It is possible to count wave (ii) as ending at the November 27 low and if so, then wave (iii) is working higher on a breakout above 154. We cannot rule out the possibility of wave (ii) continuing to grind sideways with a dip to 147.50 acting as a washout of long traders. Eventually, we think the blue channel support line will hold GBP/JPY prices should a dip begin.

We can count an impulsive wave from August 2017 to September 21 high of 152.86. That high came close to the .618 wave relationship so it is possible the bullish wave is over, though we think that is lower probability. The price action since September 21 is printing in corrective waveform that hints at more gains over the long run.

Bottom line, we think GBP/JPY will work higher towards 163 in the coming months. A dip to 147.50 would fit within the context of a typical wave (ii). A significant break of the channel support line would hint at a deeper correction down towards 140 and possibly even 130.

Interested to learn more regarding Elliott Wave Theory? Grab the Beginner and Advanced Elliott Wave guides and follow the patterns we discussed for GBP/JPY.

Discuss this pattern and other longer term Elliott Wave patterns in Jeremy’s “What to Watch For in 2018” webinar. (If you cannot make it in real time, register to receive the recording via email.)

Why do a majority of traders lose? Find out in our traits of successful traders research.

Longer Term GBP/JPY Elliott Wave Analysis

Bulls Excited About GBP/JPY Longer Term Elliott Wave Pattern

---Written by Jeremy Wagner, CEWA-M

Jeremy is a Certified Elliott Wave analyst with a Master’s designation. This report is intended to help break down the patterns according to Elliott Wave theory.

Follow on twitter @JWagnerFXTrader .

Join Jeremy’s distribution list.

Recent Elliott Wave articles by Jeremy:

USD/CAD Falls Towards Support Offering a Bullish Setup

Elliott Wave Analysis: Crude Oil Price Bursts Higher in 5th Wave

Santa Brings a Gold Price Rally for Christmas

EURUSD Elliott Wave Pattern Looks to Higher Levels

NZDUSD Elliott Wave Analysis: Fourth Wave Close to Terminating

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES

News & Analysis at your fingertips.