01 October 2007
GBP/USD Elliottwave Signal :-
TimeFrame = 4Hrs (Short Term with High Risk Trade)
Signal = Sell Limit at the price of 2.0500.
Risk Reward Ratio = Between 0.3~8.0 (high risk)
We have two target profit for this signal.First is st = 2.0430 area and second is between 2.0315~2.0355 area.
Stop Loss at high of possible extended wave v at 2.0565 area.
Great Britain Pound Elliott wave Analysis :-
Finally our 3rd target of previous Elliott wave GBP/USD signal has been hit.Its a 250+ pips profit.
If you made a trailling stop we suggest to continue trail until market reached 2.0500 area.
But if your trades all has been closed we strongly advice to prepare for our next signal.
From Our view, market has hit our first target as a norm wave iii then it retrace to wave iv before continue its bullish trend for wave v.
Now the market has reached the wave v zone, does it means that it will collapse anytime soon? To answer that question we have to wait for next GBP/USD pattern.
There is two possibilities, one is a minor retracement before GBP/USD continue to extended wave v.
Second is a medium a-b-c correction towards 61.8% of fibonacci retracement area.
This is two possibilities made our current signal a high risk trade.We choose the first possibility which GBP/USD could extend to at least 2.0500~2.0550 area.Only than we could enter short.So for this trade we can set Sell Limit order at 2.0500 and set a target for a-b-c correction wave down.
Below is our two possibilities of GBP/USD Elliott wave counts :-