Main scenario: consider short positions from corrections below the level of 1.3575 with a target of 1.2831 – 1.2481.
Alternative scenario: breakout and consolidation above the level of 1.3575 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). Wave C of (2) is forming on the H4 chart, with the third wave of smaller degree iii of C competed as its part. Apparently, corrective wave iv of C is near completion on the H1 chart, with wave (c) of iv coming to an end inside. If the presumption is correct, the pair will continue falling to the levels of 1.2831 – 1.2481 after the corrective wave iv of C is formed. The level of 1.3575 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
The content of this article reflects the author’s opinion and does not necessarily reflect the official position of LiteFinance. The material published on this page is provided for informational purposes only and should not be considered as the provision of investment advice for the purposes of Directive 2004/39/EC.