GBPUSD 25th September, 2015

Cable unfolded exactly as expected and targets were reached and exceeded by less than 10 pips before reversing directions and moving in a sideways manner.

We are updating the main count which expects that a five wave sequence is complete and that upwards corrective movement is due. On the other hand, the alternate count expects Cable to continue moving downwards to complete a that five wave sequence.

As always we will wait for either counts confirmation point to be reached to determine the highly probable count.

My apologies for the delayed publishing of today`s analysis due to some technical difficulties.

Main Hourly Count

– Invalidation Points: 1.5135 — 1.5659
– Confirmation Point: 1.5212
– Upwards Targets: 1.5255 — 1.5261 — 1.5336
– Wave number: ii orange
– Wave structure: Corrective
– Wave pattern: Zigzag

Alternate Hourly Count

– Invalidation Point: 1.5511
– Confirmation Point: 1.5135
– Downwards Targets: 1.5122 — 1.5067
– Wave number: 5 purple
– Wave structure: Motive
– Wave pattern: Impulse

Elliott Wave chart analysis for the GBPUSD for 25th September, 2015. Please click on the charts below to enlarge.

Main Daily Wave Count

This count expects that primary wave B maroon is complete and that primary wave C maroon is unfolding towards the downside.

Within wave C maroon intermediate wave (1) black is complete as an impulse labeled minor waves 1 through 5 blue and intermediate wave (2) black might be complete as well and that intermediate wave (3) black has started unfolding downwards.

Within wave (1) black, wave 2 blue unfolded as a zigzag structure labeled minute waves a, b and c pink.

Wave 3 blue unfolded as an impulse labeled minute waves i through v pink.

Wave 4 blue unfolded as a triangle labeled minute waves a through e pink.

Intermediate wave (2) black unfolded as a zigzag labeled waves A, B and C blue.

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

Wave C blue unfolded as an impulse labeled waves i through v pink.

Within intermediate wave (3) black it is expected that waves i and ii pink are complete and that wave iii pink is unfolding downwards.

Wave ii pink unfolded as a double zigzag labeled waves (w), (x) and (y) green.

Within wave iii pink it is likely that waves (i) and (ii) green are complete and wave (iii) green is at its early stages.

This count would be initially confirmed by movement below 1.5135.

At 1.4992 wave iii pink will reach 1.382 of wave i pink which is the next logical target and at 1.4853 wave iii pink will reach 1.618 of wave i pink.

This count would be invalidated by movement above 1.5659 as within wave (iii) green no second wave may retrace more than 100 % of its first wave.

Main Hourly Wave Count

This count expects that wave C blue and therefore intermediate wave (2) black might be complete and that intermediate wave (3) black has started unfolding towards the downside.

Within intermediate wave (3) black, it is expected that waves i and ii pink are complete and wave iii pink is at its early stages.

This count expects that wave iii pink is at its early stages with waves (i) and (ii) green are complete and wave (iii) green is unfolding towards the downside.

Wave (ii) green unfolded as a zigzag labeled waves a, b and c orange.

Wave a orange unfolded as an impulse labeled waves 1 through 5 purple.

Wave b orange unfolded as an expanded flat correction labeled waves A, B and C purple.

Wave C purple within wave b orange unfolded as an expanding ending diagonal labeled waves (1) through (5) aqua.

Wave c orange unfolded as an impulse labeled waves 1 through 5 purple with wave 5 purple unfolding as an impulse labeled waves (1) through (5) aqua.

Within wave (iii) green it is likely that wave i orange is complete as an impulse labeled waves 1 through 5 purple and that wave ii orange is at its early stages.

Within wave ii orange it is likely that waves A and B purple are complete and that wave C purple is underway.

This count would be confirmed by movement above 1.5212.

At 1.5255 wave C purple would reach equality with wave A purple and at 1.5261 wave ii orange would reach 0.236 of wave i orange and finally at 1.5336 wave ii orange would reach 0.382 of wave i orange.

This count would be invalidated by movement above 1.5659 as wave ii orange may not retrace more than 100 % of wave i orange and as well this count would be invalidated by movement below 1.5135 as within wave ii orange, wave B purple may not retrace more than 100 % of wave A purple.

Alternate Hourly Wave Count

The only difference between both main and alternate counts is within the subdivisions within wave i orange.

This count expects that wave i orange is incomplete and that it has more to offer towards the downside.

Within wave i orange it is likely that waves 1 through 4 purple are complete and that wave 5 purple is unfolding downwards.

This count would be confirmed by movement below 1.5135.

At 1.5122 wave 5 purple would reach 0.618 of wave 1 purple and at 1.5067 wave 5 purple would equality with wave 1 purple.

This count would be invalidated by movement above 1.5511 as wave 4 purple may not enter the price territory of wave 1 purple and it should be noted that the invalidation point will be moved to the end of wave 4 purple once we have confirmation on the hourly chart that wave 5 purple is underway.

2 thoughts on “GBPUSD 25th September, 2015”

  1. Thx always Nady,

    very precise analysis!!! I’ll start little by little to trade (demo) on these corrrections -picking A C…-

    Rgds
    Fran

    1. Hello Fran,

      Thank you for the kind words, your kind words appeal to one`s vanity and if the Forex market teaches us anything, it teaches us to swallow our vanity and eliminate it on a daily basis :).

      Great idea to start experimenting with corrections on a demo account. If I am to suggest, I would suggest to always be careful with corrections because you would be exposed against the higher degree trend, therefore, lowering the risk with less lots is always a key trading corrections with tight invalidation points and targets.

      Also, keep in mind that because of the sideways “consolidating” nature of corrections, trading corrections can be nerve wrecking as price action is slow and can be against you at times unlike impulses where targets are met quickly.

      Let me know how correction trading goes for you :).

      Sincerely,
      Nady

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