On the 1h chart of GBPJPY
, we are observing a nice impulsive structure taking place, from recent lows where we labeled the start of a new bullish
cycle. That said we believe that this strong upward action may be blue wave iii-circled, which can reach even higher levels, but only after a temporary correction in sub-wave iv unfolds.
If price reaches the upper corrective channel line around 134.59 area, then pair could already be trading in a higher degree corrective wave iv-circled.