GBPAUD Elliott Wave Analysis – Trading Lounge

British Pound/Australian Dollar (GBPAUD) Day Chart

GBPAUD Elliott Wave Technical Analysis

• Function: Bullish Trend
• Mode: Impulsive
• Structure: Navy Blue Wave 3
• Position: Gray Wave 3
• Next Lower Degree Direction: Navy Blue Wave 4

Details:

The GBPAUD Elliott Wave Analysis for the day chart indicates a bullish trend, with the market currently in an impulsive mode. The price structure is identified as navy blue wave 3, which forms part of a larger upward movement within gray wave 3. This setup suggests a strong upward phase, characteristic of impulsive wave structures.

The next anticipated movement at a lower degree is navy blue wave 4, which is expected to follow once navy blue wave 3 completes.

Currently, navy blue wave 3 of 3 remains active and appears to be nearing its end. This wave is expected to exhibit strong upward momentum, aligning with the impulsive nature of the trend. Traders should keep an eye on navy blue wave 3, as its completion may signal the beginning of navy blue wave 4, which could introduce temporary pullbacks or consolidation before the overall bullish trend resumes.

A crucial level to monitor is the wave cancellation invalid level at 2.01542. If the price drops below this level, it would invalidate the current wave count, indicating a need to reevaluate the market structure. This level acts as a key support zone, and its breach may signal a trend shift or a change in the wave pattern.

Conclusion

The GBPAUD remains in a bullish trend, with navy blue wave 3 of 3 currently in play and approaching its completion. This impulsive movement is part of gray wave 3, and the next significant move is expected to be navy blue wave 4. Traders should closely monitor the completion of navy blue wave 3, as it will provide insights into the timing and direction of the next lower-degree wave.

Understanding wave structures is critical for anticipating market movements and aligning trading strategies accordingly.

British Pound/Australian Dollar (GBPAUD) 4-Hour Chart

GBPAUD Elliott Wave Technical Analysis

• Function: Bullish Trend
• Mode: Impulsive
• Structure: Orange Wave 5
• Position: Navy Blue Wave 3
• Next Lower Degree Direction: Navy Blue Wave 4

Details:

The GBPAUD Elliott Wave Analysis for the 4-hour chart indicates a bullish trend, with the market currently in an impulsive mode. The price structure is identified as orange wave 5, forming part of a larger upward movement within navy blue wave 3. This setup suggests a strong upward phase, characteristic of impulsive wave structures.

The next anticipated movement at a lower degree is navy blue wave 4, which is expected to follow after orange wave 5 is completed.

The analysis suggests that orange wave 4 has concluded, and the market is now advancing through orange wave 5. This wave is expected to exhibit strong upward momentum, aligning with the impulsive nature of the trend. Traders should closely observe orange wave 5, as its completion could mark the beginning of navy blue wave 4, a corrective phase that may introduce temporary pullbacks or consolidation before the broader uptrend resumes.

A crucial level to monitor is the wave cancellation invalid level at 2.02757. If the price drops below this level, it would invalidate the current wave count, indicating a need to reevaluate the market structure. This level serves as a key support zone, and breaching it may suggest a trend shift or a change in the wave pattern.

Conclusion

The GBPAUD remains in a bullish trend, with orange wave 5 now in play following the completion of orange wave 4. This impulsive movement is part of navy blue wave 3, and the next significant development is expected to be navy blue wave 4.

Traders should closely monitor the completion of orange wave 5, as it will provide insights into the timing and direction of the next lower-degree wave. Understanding wave structures is essential for anticipating market movements and optimizing trading strategies accordingly.

Technical Analyst: Malik Awais

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