GBP/USD Signal - June 25, 2013


Currency: GBP/USD
Method: Elliott Waves
Description: Pattern trading using Fibonacci mathematics and Elliott Waves theory being very successful for years. I noticed a contracting triangle in GBP/USD being completed with five waves contracting in smaller Zigzags, Zigzags combination with three Resistance (R)'s, and Two Supports (S)'s ending with a break in support level where the third support was very weak to handle the trade as shown in Chart. This phenomena indicates a change in trend direction and continuation of the larger bearish movement that started earlier on 14  March 2008.

GBP/USD Signal - June 25, 2013

Looking at the second chart focusing on Elliott waves counts, we noticed a completed Elliott cycle just below the support line that completed a 100% movement and expected correction toward 0.618 Fibonacci level at or in between 1.55940 and 0.55464.

GBP/USD Hourly Chart - June 25, 2013

I have already shorted the pair because this correction will not take long, and will add more lots when trend hits Fibonacci range. The target will be open for now, the Sl will be changed later and target profit will be announced once expected wave (iii) hits its 1.618 Level. Good luck on your cable trade.

Recommendation: Sell and Hold
Trade Duration: 14 Days
Stop Loss: 1.57000
Target: Open with expectation toward 1.40000 soft target

Fadi Steitie

Fadi Steitie is an entrepreneur, investor and professional Forex trader who shares Forex signals with based on his keen understanding of the market. His favorite pair is EUR/ USD because almost 40% of traders trade this pair and it does match most of his pattern recognition strategies. He is an expert in Elliot Wave principles as well as Ichimoku Kinko Hyu which he is currently researching. So far he has not seen many English translated books about this method of technical analysis, however he is continuing to read about it and believe this method has as much to give to traders like the Elliot Waves method does. Fadi is looking for the magic behind this principle even though many do not research this trading system.