The GBPJPY currency pair is most likely moving within the cycle impulse, with wave III under development.
We can assume that the correction wave ④ of the primary degree ended at the end of December. This correction took the form of an intermediate triple zigzag.
Since then, we have observed a rise in the price in the primary wave ⑤. In turn, this takes the form of an intermediate 5-wave impulse (1)-(2)-(3)-(4)-(5).
The entire primary wave ⑤ can complete its pattern near 163.52. At that level, it will be at 61.8% of wave ③.
Alternatively, the primary wave ⑤ is not an impulse, but an ending diagonal in which an intermediate correction wave (4) is under construction.
Perhaps wave (4) will be a triple W-X-Y-X-Z zigzag of the minor degree, as shown in the chart. In the near future, prices could lower in the minor sub-waves Y-X-Z to the level of 152.00.
After reaching the specified price level, the price is likely to increase within the final intermediate wave (5) to the previous maximum of 158.25.
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