Once this first part of red wave 4 is over, we should be looking for a decline back to 1.2040 (flat correction) or maybe lower towards the 1.1864 area if red wave 4 becomes an expanded flat correction. But for now we will concentrate on finishing red wave c.
USD/JPY - Failure to rally impulsively does make me a little suspicious, but as long as minor support at 78.02 protects the downside I will maintain the above count for a new rally towards 80.10 soon.
If however support at 78.02 is broken the minor rally from 77.90 can only be a correction and will call for a more serious test of important support at 77.65 and any break below here will invalidate the above count.
GBP/USD - In the bigger picture I'm still looking for wave 2 of red wave C to finish soon, however as long as support at 1.5392 protects the downside we could see one last rally higher towards 1.5805 in a very complex correction that begun at 1.5268. Once wave 2 is over we should see a powerful decline in wave 3 towards at least 1.4225.
EUR/JPY - Here we should soon see a break above 97.26, which confirms that red wave iii is on its way towards at least 100.30 and likely even 101.52. However as long as minor resistance at 97.26 protects the upside we can't exclude red wave ii to correct more of red wave i and a break below 96.70 will confirm a deeper correction to 96.36 and maybe even 96.01, but I don't favor this outcome.
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