FX:GBPUSD   British Pound / U.S. Dollar
The pair may fall.

On the 4-hour chart, a downward correction of the higher level developed as the wave (2), and the formation of the third wave (3) started. Now, the first wave of the lower level 1 of (3) is forming, within which the third wave of the lower level iii of 1 has formed, and a downward correction is developing as the wave iv of 1, within which the wave (c) of iv is forming. If the assumption is correct, the pair will fall to the levels of 1.2700–1.2606. In this scenario, critical stop loss level is 1.2973.

Main scenario

Short positions will become relevant during the correction, below the level of 1.2973 with the targets at 1.2700–1.2606. Implementation period: 5–7 days.

Alternative scenario

The breakout and the consolidation of the price above the level of 1.2973 will let the pair grow to the levels of 1.3167–1.3387.

Scenario

Timeframe Weekly
Recommendation SELL
Entry Point 1.2797
Take Profit 1.2700, 1.2606
Stop Loss 1.2860
Key Levels 1.2606, 1.2700, 1.2973, 1.3167, 1.3387

Alternative scenario

Recommendation BUY STOP
Entry Point 1.2975
Take Profit 1.3167, 1.3387
Stop Loss 1.2910
Key Levels 1.2606, 1.2700, 1.2973, 1.3167, 1.3387

Disclaimer

The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.