Hey traders! GBP/USD is showing a beautiful impulsive structure, and it looks like we’re in the early stages of Wave 5. Based on the current Elliott Wave count, we have a clear setup with defined risk and a compelling reward.
Setup Breakdown:
Wave 1 and Wave 3 have completed.
Price is now pushing out of a consolidation that likely marks Wave 4.
The projected target for Wave 5, based on the 5 vs 1+3 Fibonacci extension, is sitting at 1.3292.
Trade Idea:
Entry: Current price (around 1.2907–1.2942 range).
Stop Loss: Below the previous Wave 4 low (a safe invalidation level).
Take Profit: 1.3292 (61.8% extension of Wave 1 + Wave 3).
Why This Trade Makes Sense:
Elliott Wave structure is clean and impulsive.
Alternation is respected: Wave 2 and Wave 4 differ in form.
Fib extension confluence adds extra conviction.
Defined entry and stop make risk management straightforward.
Risk Management Tip:
Always risk only a small percentage of your account—structure the position size so your stop loss aligns with your risk tolerance.
If price starts pushing impulsively, especially with higher volume, that could be the confirmation that Wave 5 is in motion.
Stay sharp, manage your risk, and let the waves guide your trade!
Setup Breakdown:
Wave 1 and Wave 3 have completed.
Price is now pushing out of a consolidation that likely marks Wave 4.
The projected target for Wave 5, based on the 5 vs 1+3 Fibonacci extension, is sitting at 1.3292.
Trade Idea:
Entry: Current price (around 1.2907–1.2942 range).
Stop Loss: Below the previous Wave 4 low (a safe invalidation level).
Take Profit: 1.3292 (61.8% extension of Wave 1 + Wave 3).
Why This Trade Makes Sense:
Elliott Wave structure is clean and impulsive.
Alternation is respected: Wave 2 and Wave 4 differ in form.
Fib extension confluence adds extra conviction.
Defined entry and stop make risk management straightforward.
Risk Management Tip:
Always risk only a small percentage of your account—structure the position size so your stop loss aligns with your risk tolerance.
If price starts pushing impulsively, especially with higher volume, that could be the confirmation that Wave 5 is in motion.
Stay sharp, manage your risk, and let the waves guide your trade!
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.