After the recent crash due to the recent incoherent fiscal and monetary policy between in the UK, the GBP has been recovering well. The price is trading in a triangle and also undergoing wave formation. We are currently in the process of wave 5 formation. The price action has currently completed waves 1 and 2 of wave 5. Wave 2 of 5 is a 0.618 fib retracement of wave 4 and wave 1 of 5. This sets it up nicely for wave 3 of 5 to commence. With this I expect the triangle to break to the upside with a conservative target of about 1.2130. Further, if any of the impulsive waves of wave 5 do extend at any point, it may be possible for the price to reach 1.2260 - 1.2285 zone.