Short-Term GBPUSD Elliott Wave Analysis

Published 13th March 2018

The short-term GBPUSD Elliott wave pattern counts as a terminal structure to the upside. It points to a significant top on January 25th. The pattern since our minuette wave (i) label is unclear. Neither its increase nor its drop looks impulsive as we publish this. Therefore a complex development of wave (ii) remains the most likely scenario at this point.

Medium Term GBPUSD Elliott Wave Analysis

Published 7th February & validated 28th February 2018

The cable just completed a 4th wave of intermediate degree. So far we have a textbook Elliott wave development in the medium term. Our double zigzag base case shows a completed pattern, which meets Elliott’s rules and guidelines perfectly. Minor wave Y equals roughly a Fibonacci 1.38 of its W-wave twin. Minute wave a(circle) equals roughly to minute wave c(circle) within wave Y. Wave (4) alternates to wave (2). It is deep in terms of Fibonacci retracement and shows a complex pattern.

We expect continuation along the long-term trend to the downside. Primary wave 3° and cycle wave V still have to finish. As of today, we count 7 waves down from the 2014 top. That’s an incomplete Elliott wave pattern. It calls for followthrough to the downside. Our GBPUSD forecast is below the levels the cable saw in the 80s.

Long-Term Trend GBPUSD Elliott Wave Analysis

Published 6th November 2017 & validated 20th February 2018

Long-term we anticipate a drop of the cable below its level in the 80’s. Wave IV showed a simple 3-wave structure, which took a total of 22 years. Moreover, the subsequent drop looks impulsive. The next years should bring further downside to the sterling vs. the dollar as wave V develops.


Technical Analysis