GBPUSD Elliott wave analysis and weekly outlook – 12th – 16th September 2016

Correction of the Cable continues

Like Euro like Pound. I don’t usually comment on correlation of instruments. Because correlation is subjective and hindsight. Though in this case a different type of correlation has emerged between EURUSD and GBPUSD. That is because Euro and the Cable are both dancing on the fence between a triangle and a ZigZag as the overall corrective structure.

gbpusd-h4-short-impulse-wave-abc-wavea-forecast-12-09-16-weekly-outlook

Price is more likely to stay between blue zones for next week. Even if wave-D of the triangle is to form next, I would expect another move to retest the upper boundary line of the triangle. Perhaps push the wave-C a tiny bit further. Nonetheless price is more likely to be somewhat range bound for next week.

Whichever way it goes and whichever structure it goes onto complete, we know at the end of it will be the opportunity to grab the jackpot.

A reminder of the weekly chart

gbpusd-w-wave-forecast-12-09-16-weekly-outlook

Observing the weekly chart, you can see how small and irrelevant the Primary wave-4 is within larger structures and waves.

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