GBP/USD: wave analysis

29 ก.ค. 2019

The pair may fall.

On the daily chart, the downward correction of the higher level develops as the wave (2), within which the wave C of (2) forms. Now, the fifth wave v of C is developing, within which the third wave of the lower level (iii) of v is forming. If the assumption is correct, the pair will fall to the levels of 1.2200–1.2100. In this scenario, critical stop loss level is 1.2529.

Main scenario

Short positions will become relevant during the correction, below the level of 1.2529 with the targets at 1.2200–1.2100. Implementation period: 7 days and more.

Alternative scenario

The breakout and the consolidation of the price above the level of 1.2529 will let the pair grow to the levels of 1.2781–1.2975.

Scenario

Timeframe Weekly
Recommendation SELL
Entry Point 1.2365
Take Profit 1.2200, 1.2100
Stop Loss 1.2529
Key Levels 1.2100, 1.2200, 1.2529, 1.2781, 1.2975

Alternative scenario

Recommendation BUY STOP
Entry Point 1.2535
Take Profit 1.2781, 1.2975
Stop Loss 1.2450
Key Levels 1.2100, 1.2200, 1.2529, 1.2781, 1.2975