On weekly chart of sterling, I am going to divide the downside movement between 1.7192 and 1.1904 into 5 impulse waves, judging by the price action and ratios required by EW rules,detailed as below:
Wave 1: 1.7192-1.4566 Wave 2: 1.4566-1.5930, closed at 1.5892, 50% ret of wave 1 Wave 3: 1.5930-1.1904, 2x length of wave 1 Wave 4: 1.1904-1.4376, 61.8% ret of wave 3, closed lower than the lowest of wave 1(1.4566) Wave 5: since the wave 3 is over 1.618 length of wave 1, the 5th wave is either 1x or 1.618 length of wave 1
1.27, 1.2380,1.2 are important support this year. Once the price break the 1.2 level, may further test the 1.18 (1x wave 1)