- September 30, 2009
- Posted by: Ramki Ramakrishnan
- Category: GBP
Nothing works like Elliott Wave analysis when it works! The Pound has dropped 200 pips already. While we could expect more weakness ahead, I would like to be prepared with a plan of action should we see a strong correction from around here. ( I am not saying this correction WILL happen. Just getting ready with a plan IF it happens).
Take a look at the chart. Suppose the first wave finished at 1.5944. We are then witnessing an irregular B wave that made a new low below 1.5944. The ensuing “C” wave will take us above the top of the “A” wave by a factor of the distance between the end of the first wave and the bottom of the B wave. All this is explained in the chart. Once we finish the correction, we should sell again. Enjoy!
As always, it is good to have an alternate count! So here goes…