Although all the talk is another leg up of the US Dollar rally, against the CAD the rally may be short-lived. The five wave move from the high would suggest a zigzag correction which is what I have based my projections on.
Looking at Cable from this way round it seems that the 1.30 level will be pretty critical and, whatever the long term direction of the pair, the Pound may be due some sort of rally or correction sooner rather than later. If it doesn't rally upwards from here (in my opinion it would probably be a wave 4 correction rather than a completed wave 5) then I expect the ...
If May's low was the completion of wave 4 then we can expect another leg up in the Dollar index. The three targets presented would all suggest a mid channel completion for wave 5 of 3. As I expect Gold to run a little longer perhaps the Dollar will correct to test the channel again before shooting up for wave 3 of 5. Alternatively, wave 3 of 5 could have already ...
The start of a new bull market or just the an A wave correction. Whichever, I believe that this may be the 5th wave in the 5th wave based on Elliot wave and some parallel channeling.. An end to good run for gold and the subsequent correction could coincide with another leg up in the USD.
Parallel channels, Elliot Wave and time cycles might all suggest that the US dollar is due on more leg up against the SGD. I have chosen the 61.8% extension of waves 1-3 and a parity with wave 1 as possible target for the completion of wave 5.
I had initially thought that the end of wave 3 could in fact have been the end wave 5, but alas I appear to be wrong. GBPSGD seems intent on continuing downwards. I have picked the 50% extension of waves 1-3 as the likely endpoint just because it seems to fit the channel.
Although fundamentals, experts and banks forecast the pound a lot lower from here my analysis at least suggests that the pound could be finding a bottom in the nearish future. Of course. my projected wave 5? could just as easily be the end of of wave 3 down.
Although I think it more likely to be a wave 4 correction leading to new highs and a further run up (bracketed in red), the blue count is another possibility that might suggest an almighty smash up is looming, If the completed wave was an extended wave 5 then look out below.
GBP possibly to continue downtrend. My count shows currently about to start wave 5 of sub-wave 3 with some possible targets for completion of wave 3 before a smallish correction for wave 4. Pound may have a long way to go down yet.