The GBPUSD is trading in higher high sequence from 9.22.2022 low in weekly. The bounce is corrective Elliott Wave sequence & expect further upside. It favors pullback in proposed 7 swings from 7.01.2025 high & extend into 1.3162 – 1.2898 area, while below 7.23.2025 high. It should find buyers in to extreme area for next leg higher in daily or at least 3 swings bounce. In 4-hour, it started correcting lower from 7.01.2025 high. It ended W at 1.3362 low of 7.16.2025 & X at 1.3589 high of 7.23.2025 each in 3 swings. Below X high, it favors downside in Y in 3 swings as it broke below 7.16.2025 low, expecting into extreme area. Within W, it ended ((a)) at 1.3523 low, ((b)) at 1.3620 high & ((c)) at 1.3362 low. Above there, it placed ((a)) at 1.3486 high, ((b)) at 1.3371 low & ((c)) as X connector at 1.3589 high. The double correction unfolds in 3-3-3 structure, which will completes, when current bounce fail below 7.23.2025 high to new low into extreme area. It ended ((a)) of Y into 0.618 – 0.764 Fibonacci extension area of W & expect 3 or 7 swings bounce in ((b)).
Below X high, it placed ((a)) of Y at 1.3305 low & favors bounce in ((b)) in 3 or 7 swings against 7.23.2025 high. Within ((a)), it ended (i) at 1.3528 low, (ii) at 1.3563 high, (iii) at 1.3413 low, (iv) at 1.3543 high & (v) at 1.3305 low. Above there, it favors bounce in (a) of ((b)) and expect small upside before it should pullback in (b). The next pullback in (b) should stay above 1.3305 low choppy price action before continue upside in (c). Ideally, ((b)) can bounce between 1.3413 – 1.3481 area as 0.382 – 0.618 Fibonacci retracement of ((a)) before continue lower. Wave ((b)) bounce expect to fail below 1.3591 high before extend lower in ((c)) into 1.3162 – 1.2898 to finish double correction. Because of higher high in daily since September-2022 low, it should find buyers in extreme area to resume higher. It expects sideways to higher until FOMC event followed by selloff, while bounce fail below 7.23.2025 high. We like to buy the pullback into extreme area for next leg higher or at least 3 swings reaction.
GBPUSD – 60-Minute Elliott Wave Technical Chart:
Source: https://elliottwave-forecast.com/news/gbpusd-elliott-wave-bounce-fail-support/