In this analysis, we will have a look at GBPUSD in the 1-hour chart.
The pair is correcting cycle from 10/7/16 low within red wave b which is expected to take the form of a zig-zag. Black wave ((A)) ended at 05/21/18 low (1.3201) and black wave ((B)) pullback is proposed to be completed at 06/07/18 peak (1.3473). Below from 06/07/18 peak, it ended blue wave (1) at the low of 06/21/18 (1.3099). Up from there, it completed the pullback in blue wave (2) at the peak of 06/22/18 (1.3316).
Below from there, GBPUSD is currently unfolding as a 5 Elliott Wave Impulse with a extend wave ((iii)). Below from 06/22/18 low, it ended black wave ((i)) at the low of 06/22/18 (1.3246) and the proposed pullback is complete in black wave ((ii)) at the peak of 06/26/18 (1.3292). Below from there, the current view is suggesting that we are still within black wave ((iii)) before a pullback in black wave ((iv)) can be seen followed by another push lower in black wave ((v)) of red wave 1.
Once red wave 1 is complete, the pair should bounce in red wave 2 in 3, 7 or 11 swings before the decline resumes, provided the pivot at 1.3316 high stays intact. We don’t like buying the pair in the proposed bounce as the right side remains to the downside.