GBPUSD – 4th November, 2014 – Monthly

Over last month, Cable unfolded towards the downside as expected and first target was reached and exceeded.

The short term view expects Cable to unfold towards the upside in a corrective manner before reversing directions and moving towards the downside in an impulsive manner. On the other hand, the alternate weekly chart expects that upwards correction is complete and that Cable should be expected to resume its downtrend.

We are updating both main and alternate counts according to the latest price action and as always we will wait for either count`s confirmation point to be reached to determine the highly probable count.

For a more in depth look please view the latest published weekly analysis.

Elliott Wave chart analysis for the GBPUSD for 4th November, 2014. Please click on the charts below to enlarge.

Main Weekly Wave Count

01-gbpusd04nov14monthly

This count expects that waves A and B maroon are complete with wave A maroon unfolding as an impulse labeled waves (1) through (5) black.

Wave B maroon is expected complete as a zigzag labeled waves (A), (B) and (C) black and that wave C maroon is starting to unfold towards the downside.

Wave (A) black unfolded as an impulse labeled waves 1 through 5 blue.

Wave (B) black unfolded as a running flat labeled waves A, B and C blue.

Wave A blue unfolded as a zigzag labeled waves a, b and c pink.

Wave B blue unfolded as a zigzag labeled waves a, b and c pink.

Wave C blue unfolded as an ending diagonal labeled waves i through v pink with wave i pink unfolding as a zigzag labeled waves (a), (b) and (c) green.

Wave (C) black unfolded as an impulse labeled waves 1 through 5 blue.

Wave 3 blue extended into waves i through v pink.

Wave 5 blue unfolded as an ending diagonal labeled waves i through v pink.

After the completion of wave B maroon, wave C maroon is starting to unfold towards the downside as an impulse with wave (1) black complete and wave (2) black is underway.

Wave (1) black unfolded as a leading diagonal labeled waves 1 through 5 blue.

Following the completion of wave (2) black this count expects wave (3) black to start unfolding towards the downside.

This count would be initially confirmed by movement below 1.5874 and the final confirmation point is at 1.4813.

This count would be invalidated by movement above 1.7193 as wave (2) black may not retrace more than 100 % the length of wave (1) black.

Alternate Weekly Wave Count

02-gbpusd04nov14monthlyalt

The difference between both main and alternate counts is within the subdivisions of wave (2) black.

This count expects that wave (2) black is complete and that wave (3) black is at its very early stages.

This count would be initially confirmed by movement below 1.5874 and the final confirmation point is at 1.4813.

This count would be invalidated by movement above 1.6183 as within wave (3) black no second wave may retrace more than 100 % the length of the first wave.

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