GBPUSD Technical Strategy: Short term view
Elliottwave Count: Either wave 3 or alternate wave C is due.
GBPUSD (Great British Pound vs US Dollar ) is looking one more high towards 1.2868 horizontal weekly resistance. Also on smaller timeframe, pound is suggesting one more high in count. This count can be either wave 3 or on alternate this can be wave C. As we have first leg up was five wave impulse, we are expecting correction at-least towards 1.2868. We will mark that move as reversal or correction on that resistance only. But looking for trading opportunity. Comparing our previous analysis, we adjusted our count and was expected and now we are on new impulse upward trend. At this juncture, we can have one of the possible scenario is playing out from below one:
Scenario 1: Either we are on reversal and we can expect new high above 1.2600 from current level. This is marked as a green line and can be counted as impulse wave 3. This is highly likely scenario which we are expecting.
Scenario 2: On alternate scenario, we are expecting another in wave 2, and current price level will be a part of wave X, this scenario need to be taken in consideration because, move 1.2428 is not looking so impulsive and same time we have monthly on 1.2408 which possibly retest on month start.
We are long two position in this pair from 1.2475 and 1.2401 and stoploss lower down.
-- By Hoagtrading.com (@Hoagtrading)