Continuation of the ascending trend. GBP /JPY wave analysis.

In our previous review, “Final ascending movement of the price. Wave analysis of GBP/JPY for 14.07.2014”, we discussed one of the possible scenarios how the price may complete ascending trend inside possible impulse [v] of 5.

Wave structure on major levels has not changed much. Pair is completing ascending impulse 5 of (1). Considering extension in the third wave [iii] of 5, it is quite logical to expect that wave [v] of 5 and wave [i] of 5 may be approximately of the same length. Moreover, final ascending movement of the price inside wave [v] of 5 after wave [iv] of 5 (in the form of horizontal triangle) may be as long as the height of the above-mentioned triangle pattern. Both these scenarios of wave [v] of 5 indicate the same target at ~180+.

Presumably, pair completed local descending correction (ii) of [v] of 5 (or its first part a of (ii) of [v]). In this case, it is logical to expect that price may continue ascending trend in the form of impulse (iii) of [v] of 5.

However, at the same time one should remember that any possible scenario is subjective and the market may move in a completely different direction.


RoboForex Analytical Department