Cable pulled back as anticipated and the first target was reached to the pip. At this stage, it is possible to count wave iv as complete. However, I have some concerns regarding the length of wave waves iv and ii orange, time-wise.
Therefore, both today’s main and alternate hourly counts have almost equal probabilities.
Synopsis: A corrective retreat toward 1.3129 – 1.3073 should set the stage for further advance.
Main Hourly Count
– Invalidation Point: 1.3129
– Confirmation Point: 1.3219
– Upwards Targets: 1.3267 — 1.3355
– Wave number: v orange
– Wave structure: Motive
– Wave pattern: Impulse / Ending diagonal
Alternate Hourly Count
– Invalidation Point: 1.2897 – 1.3219
– Confirmation Point: 1.3129
– Downwards Targets: 1.3099 — 1.3073
– Wave number: iv orange
– Wave structure: Corrective
– Wave pattern: Zigzag
Elliott Wave chart analysis for the GBPUSD for 28th January, 2019. Please click on the charts below to enlarge.
Main Daily Wave Count
For the long term, this count expects that primary wave B maroon is complete and that primary wave C maroon is unfolding towards the downside likely as an ending diagonal.
Within wave C maroon intermediate waves (1) and (2) black are complete and intermediate wave (3) black is underway.
Wave (2) black unfolded as a double zigzag labeled waves W, X and Y blue.
Wave W blue unfolded as a zigzag labeled waves a, b and c pink with wave c pink unfolding as an impulse labeled waves (i) through (v) green.
Wave Y blue unfolded as a zigzag labeled waves a, b and c pink with wave a pink unfolding as an impulse labeled waves (i) through (v) green.
It is worth noting that wave (v) green was a truncated fifth wave.
Wave (3) black is unfolding as a zigzag labeled waves A, X and C blue with waves A blue complete and wave B blue is at its early stages.
Wave A blue within wave (3) black unfolded as a leading diagonal labeled i through v pink.
This count will be confirmed by movement above 1.2928.
At 1.3155 wave B blue would have traveled 0.382 times the length of wave A blue. Then at 1.3388 wave B blue would have reached 50 % of the length of wave A blue.
This count would be invalidated by movement below 1.2400 as within wave B blue no B wave may retrace more than 100 % of its A wave.
Ultimately, wave (3) black should push below the 1.1790 swing low. We want to see more price action before calculating short-term targets.
Main Hourly Wave Count
This count suggests that within wave A blue is complete and that wave B blue has started.
Within wave B blue, waves (i) and (ii) green are complete and that wave (iii) green has started unfolding towards the upside.
Within wave (iii) green, waves i through iv orange are complete and wave v orange has started unfolding towards the upside.
This count will be confirmed by movement above 1.3219.
At 1.3267 wave v orange would have traveled 0.618 times the length of wave i orange and at 1.3355 wave v orange would have traveled the same distance as wave i orange.
This count would be invalidated by movement below 1.3129 as within wave v orange no second wave may retrace more than 100 % of its first wave.
Alternate Hourly Wave Count
The only difference between both main and alternate counts is within wave (iii) green.
This count suggests that waves i through iii orange are complete and wave iv orange has lower lows in store.
This count would be confirmed by movement below 1.3129.
At 1.3099 wave C would reach equality with wave A within wave iv orange and at 1.3073 wave iv orange would have traveled 0.382 times the length of wave iii orange.
This count would be invalidated by movement below 1.2897 as wave iv orange may not enter the price territory of wave i orange. As well, this count would be invalidated by movement above 1.3218 as within wave iv orange no B wave may retrace more than 100 % of its A wave.