Main scenario: consider short positions from corrections below the level of 1.3610 with a target of 1.3157 – 1.2831.
Alternative scenario: breakout and consolidation above the level of 1.3610 will allow the pair to continue rising to the levels of 1.3832 – 1.4050.
Analysis: Daily chart: the first wave of larger degree (1) has formed and a downside correction continues forming as wave (2). H4 chart: waves A of (2) and B of (2) are formed, and wave C of (2) is developing. Apparently, the first wave of smaller degree i of C and a corrective wave ii of C are formed on the H1chart. Wave iii of C is currently developing. If this assumption is correct, the pair will continue to fall to the levels of 1.3157 – 1.2831. The level of 1.3610 is critical in this scenario as a breakout will enable the pair to continue rising to the levels of 1.3832 – 1.4050.
Price chart of GBPUSD in real time mode
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