There are some amazing setups forming on the charts, here we have an AB=CD pattern on a Daily chart for GBP/USD. This post will tie in nicely with my long term prediction on the currency pair!
Straight away this would be an excellent long position in the near future, the C point came into the 0.5 Fibonacci Retracement (feel free to draw in the retracement levels) which gives it a BC projection for the D point at 2.0 which is right around 1.35000. If you read my previous post regarding GBP/USD on the monthly chart it is ready to retest the support level of 1.35000 back in 2009, the chart is shown below.
This pair could go two ways.
1. Price will hit the 1.35000 area, finally breaking the crucial level of support created back in 2009 then meaning the pair will push lower to between 1.30000 and 1.20000.
2. Hit the 1.35000 area to complete our AB=CD pattern, start to stall out on support and bounce back up to 1.46000.
Yeah Muhammad, the pair has been carrying a lot of weight since breaking the previous low. If it hits the 1.35000 level of support we should see either one of the predictions occur.