GBPJPY (1H)

My current outlook for GBP/JPY is based on the 4-hour timeframe. According to higher timeframe (HTF) analysis, we appear to have entered a corrective phase for leg 4 on the monthly timeframe.

Examining internal cycles, we observe the full development of waves 1-5 for either leg A or leg W, which represents the initial wave of HTF wave 4. I anticipate a bullish correction within waves 1-5, likely unfolding in a zigzag pattern as leg B. This phase may include establishing a new low followed by a consolidation phase in leg B, before a strategic downside manipulation in leg C.

Overall, I am focused on trading correction impulses in anticipation of subsequent corrections, expecting a harmonious price delivery within an internal accumulation phase hinting at a reversal in the sideways market.

Given the current conditions, my strategy involves buying into leg A during leg B. My target of interest is based on the volume peak within internal leg 5, which acts as a protective barrier for sell orders and invalidates leg 2.