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GBPJPY Elliott Wave Analysis Trading Lounge Day  Chart, 9 October  2023

British Pound/Japanese Yen(GBPJPY) Day Chart

GBPJPY Elliott Wave Technical Analysis

Function:  Counter Trend

Mode: impulsive as wave C of 4

Structure:  blue wave C of black wave 4

Position: Black wave 4

Direction Next Higher  Degrees: Black wave 5

Details: Corrective wave B of 4 looking completed at 183.002, now wave C of 4 is in play.  Wave Cancel invalid level: 186.749

The GBPJPY Elliott Wave Analysis for October 9, 2023, focuses on the daily chart of the British Pound/Japanese Yen (GBPJPY) currency pair, utilizing Elliott Wave theory to decipher potential market movements.

The primary function under consideration in this analysis is "Counter Trend," indicating a focus on comprehending and navigating the current counter-trend dynamics in the market. Counter-trend analysis is pivotal for traders aiming to identify opportunities during corrective phases, which typically follow strong trends.

The analysis is conducted in "impulsive" mode, signifying an in-depth examination of the impulsive waves within the Elliott Wave structure. Impulsive waves are characterized by powerful and directional price movements, often making them attractive for traders.

The core structural element being evaluated is "blue wave C of black wave 4." This denotes a detailed assessment of the third wave (C) within the larger fourth wave (black wave 4) sequence. In Elliott Wave theory, the identification of specific wave patterns is crucial for making informed trading decisions.

The analysis's positional context revolves around "Black wave 4," suggesting a thorough investigation of the fourth wave within the overall Elliott Wave count. This level of analysis is essential for traders seeking to anticipate potential price movements and reversals.

In terms of the market's direction, the analysis indicates that "wave C of 4 is in play." This implies that the corrective phase (wave 4) is currently undergoing the development of the C wave. This directional insight is valuable for traders looking to position themselves effectively within the correction.

A noteworthy observation is that "Corrective wave B of 4" is deemed to have likely concluded at the level of 183.002. This information holds significance as it marks the potential conclusion of the preceding corrective wave, setting the stage for the next wave within the sequence.

The analysis specifies the "Wave Cancel invalid level" at 186.749. This level serves as a reference point for traders to assess the validity of their trade setups and manage risk effectively.

To summarize, the GBPJPY Elliott Wave Analysis for 9 October 23, employs a counter-trend approach to analyze the unfolding corrective wave within the broader Elliott Wave structure. Traders are advised to closely monitor the progression of wave C of 4, as it could offer trading opportunities. This analysis delivers valuable insights for traders navigating the complexities of the GBPJPY currency pair.

Technical Analyst: Malik Awais

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