FX:GBPUSD   British Pound / U.S. Dollar
The pair can decrease.

On the 4-hour chart, the downward correction of the higher level is developing as a wave (2). Locally the wave C of (2) is forming, within which the wave i of C has formed, and the upward correction has ended as a wave ii of C. If the assumption is correct, the pair will fall to the levels of 1.2800–1.2580. The level of 1.3215 is critical and stop-loss for this scenario.

Main scenario

Short positions will become relevant during the correction, below the level of 1.3215 with the targets at 1.2800–1.2580. Implementation period: 7 days and more.

Alternative scenario

The breakout and the consolidation of the price above the level of 1.3215 will let the pair grow to the level of 1.3553.

Trade

Scenario

Timeframe Weekly
Recommendation SELL
Entry Point 1.3107
Take Profit 1.2800, 1.2580
Stop Loss 1.3215
Key Levels 1.2580, 1.2800, 1.3215, 1.3553

Alternative scenario

Recommendation BUY STOP
Entry Point 1.3220
Take Profit 1.3553
Stop Loss 1.3105
Key Levels 1.2580, 1.2800, 1.3215, 1.3553

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