Main scenario: consider long positions above the level of 1.1673 with a target of 1.2674 – 1.2963 once the correction is completed.

Alternative scenario: breakout and consolidation below the level of 1.1673 will allow the pair to continue declining to the levels of 1.1488 – 1.1280.

Analysis: the fifth wave of larger degree V presumably finished developing on the daily chart, with wave 5 of V formed as its part. The first ascending wave (1) started developing on the H4 chart, with the third wave of smaller degree 3 of (1) formed as its part. On the H1 chart, a descending correction appears to be forming as the fourth wave 4 of (1), with wave a of 4 forming as its part. If the presumption is correct, the pair will continue to rise to the levels of 1.2674 – 1.2963 after the correction. The level of 1.1673 is critical in this scenario as its breakout will enable the pair to continue declining to the levels of 1.1488 – 1.1280.

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.

Rate this article:

{{value}} ( {{count}} {{title}} )

Source link