Elliott Wave InternationalmyEWISocioniomics.Net
Home > Currencies

Market Insight: GBP/USD ("Cable")

By Vadim Pokhlebkin
Thu, 10 Jan 2013 13:30:00 ET
Add to Facebook Add to Twitter Email to a friend Printer Friendly

If you look at the chart of GBP/USD, commonly referred to by forex traders as "cable," you'll see the same picture you see now in U.S. stocks -- but in reverse.

Cable started the year with a huge slide, but for the past week or so, it's been moving sideways (Elliott wave labels not shown):
 
 
Here's what EWI's Currency Specialty Service editor Jim Martens has to say about cable in one of his recent intraday updates (excerpt):
 
Jan 10 2013 9:52AM ET: An observation. Cable has rallied in tandem with EUR/USD and USD/CHF, but it has not joined its peers by moving beyond its January 8 extreme. Instead, it has retraced [a Fibonacci] 61.8% of the decline from 1.6131...
 
This "divergence between these correlated markets" may have important implications for GBP/USD in the near term.
 
Jim is on the lookout for a move "in 5 waves at small Elliott wave degree" as a confirmation of the next significant change in trend.
 
 

 

 

 

Real Time Trading

 



FFS

EWI's Currency Pro Service delivers 24-hour-a-day coverage of the world's most traded currency pairs so you'll know every Elliott wave implication of every market move. Subscribe now and get instant access to actionable forecasts for:

EUR/USD         USD/JPY
GBP/USD
USD Index 
USD/CHF        USD/CAD 
AUD/USD
EUR/GBP
EUR/JPY
EUR/CAD
GBP/JPY
AUD/JPY
 

Discover what a team of Elliott wave experts can do for your forex trading>>


Free 14-page eBook


Trading Forex: How the Elliott Wave Principle Can Boost Your Forex Success

EWI's Senior Currency Strategist Jim Martens pulls from 25+ years of experience using Elliott wave analysis to show how you can put the power of the Wave Principle to work in your forex trading.
Download Trading Forex free.

*Currencies


© 2014 Elliott Wave International

The Elliott Wave Principle is a detailed description of how financial markets behave. The description reveals that mass psychology swings from pessimism to optimism and back in a natural sequence, creating specific Elliott wave patterns in price movements. Each pattern has implications regarding the position of the market within its overall progression, past, present and future. The purpose of Elliott Wave International’s market-oriented publications is to outline the progress of markets in terms of the Wave Principle and to educate interested parties in the successful application of the Wave Principle. While a course of conduct regarding investments can be formulated from such application of the Wave Principle, at no time will Elliott Wave International make specific recommendations for any specific person, and at no time may a reader, caller or viewer be justified in inferring that any such advice is intended. Investing carries risk of losses, and trading futures or options is especially risky because these instruments are highly leveraged, and traders can lose more than their initial margin funds. Information provided by Elliott Wave International is expressed in good faith, but it is not guaranteed. The market service that never makes mistakes does not exist. Long-term success trading or investing in the markets demands recognition of the fact that error and uncertainty are part of any effort to assess future probabilities. Please ask your broker or your advisor to explain all risks to you before making any trading and investing decisions.