Pound Is Near At Resistance: Elliott Wave
GBPUSD broke to a new high as expected after we identified end of a corrective retracement at 1.5850. As such, we are now tracking a new impulse leg up with can be wave C, final part of a double zigzag in wave E). If this is correct count then rally from July low is near completion. Ideally we will see a reversal down from around 1.64-1.66 region.
We are also tracking a different count that shows a five wave rally from July low, but even this count is calling for a turning point as we see pair in fifth wave up.
On 4h Chart GBPUSD is in a pullback mode which we think it's a corrective move, wave (iv) as a part of incomplete wave C. As such, we expect new high, push up in wave (v) into 1.6500-1.6600 projected region where we may see a top formation of a big wave E) of a triangle. However, this can be confirmed only by an impulsive bearish reversal, so until then trend remains up!
Written by www.ew-forecast.com