The current GBPJPY structure suggests the development of the final part of the cycle wave y, which takes the form of a double zigzag consisting of sub-waves Ⓦ-Ⓧ-Ⓨ. The last actionary wave Ⓨ is currently under development.
Apparently, the primary wave Ⓨ is a standard zigzag (A)-(B)-(C). The intermediate correction (B), which has the form of a triple zigzag, was completed not so long ago.
In the near future, we can expect an impulse price rise in the intermediate wave (C). This could take the form of a 1-2-3-4-5 impulse, as indicated on the chart, near 160.65.
At that level, the intermediate wave (C) will be at 61.8% of impulse wave (A).
An alternative scenario suggests the formation of a large triple zigzag, with the primary second intervening wave Ⓧ.
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The internal structure of this wave is similar to a triple zigzag of the intermediate degree. The sub-waves (W)-(X)-(Y) could have already ended. We can also assume that the intermediate intervening wave (X) has come to an end, taking the form of a minor triple zigzag.
In the near future, prices could decline in the final wave (Z). At that level, wave (Z) will be at 123,6% of wave (Y).
Article by Orbex
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