GBPUSD Continuation Trend - EW Analysis

FX:GBPUSD   British Pound / U.S. Dollar
253 4
Termination of EW wave 3 was a near perfect touch down at the 1.618 expansion in classic EW theory.

Looking for entry of 61.8% retracement of EW wave 3 with at SL below subwave 4 of wave 3 and around the bottom support cluster at end of EW wave 1 for a standard 35 pips.

This is a tricky one for TP as if we say EW wave 5 strives to be equal to EW wave 1 in classic EW theory, this would mean that the EW wave 5 will end being truncated. Regardless the area around the end of EW wave 3 could pose high resistance so tp 1 is set into R1 and equal to EW wave 1 at a substantial R/R ratio of 5.62. tp2 I have set at 100% expansion of wave 3 and is in and around R2 which seems to make sense to me.

I appreciate your views whether they agree or not with my analysis. I am happy to hear from the counterview as well as hear from the agreeing parties. Thanks for taking the time to view and read. I appreciate your feedback!



Thanks for your comments! :)
I suppose you are giving me a few things to think about but in the worse case scenario, if we are looking at a corrective wave then we are looking at a wave 5 of corrective wave A, so we need to be careful not to think that this is a complete turnaround as the longer term trend has been short but the medium trend is long. The short term trend of short is being forecasted as ended and the open of a Gap up was a good help! :)
If I understand what you're proposing ~~~~
Is this a trend change with this being the first wave subdivision of 5 waves ?
Or, is it an A wave that is a leading diagonal ?
Or, the clue to me, other than the recent extreme impulsive downtrend
the pair has moved, that this should be labeled corrective (a-b-c)
is that a true impulsive 3rd wave should be obviously subdivided into
5 waves itself. In this case you can only see 3 waves, which to me, puts the
idea of an impulsive 5 waves very much in doubt.
Overall this does not seem very clear yet to what sort of corrective price action
is developing, although, it would seem to me that this will eventually go higher.
I would label this - for now, with great suspect - 1-2-3 as an a-b-c A wave
and 3 - 4 a developing B wave with C wave up yet to come.
What I propose as a current B wave should tell the tale much better.
With only a 3 wave A that only subdivided into 3's I suspect that B wave
should subdivide into 3 wave flat or expanded flat. For me to trade
this requires more price action.
Thanks for your chart and thoughts !!!!!!
Hope you make lots of pips this week ~~~~~~
dojitrader dojitrader
If you're interested I've finished my projections for this EW
It will probably not be anything like this for depth and breath,
but, it does show the basic Flat I'd expect in this corrective upside
and does end in the area of resistance in the previous degree of EW.
Pips to us Both !!!!!
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