Analysis of wave counting:
In general, it is expected that during the trades of the past week, the GBP / USD pair began with a downward movement, having lost more than 250 percentage points in price and fulfilled the mark of 1.3750 on Friday. It can be assumed that the currency pair remained in the stage of formation of wave a, c, b, B, C, C, (A). If this is the case, a violation of the lower line generator of the uplink can lead to the beginning of a sufficiently extended upward correction in the future wave b, c, b, B, C, C, (A).
The objectives for working off a variant with a downward wave:
1.3788 - 23.6% of Fibonacci
1.3443 - 38.2% of Fibonacci
The objectives for working out the variant with an upward wave:
1.4400 - 1.4600
General conclusions and trading recommendations:
The pound sterling continues the construction of the assumed wave B, C, C, (A). This week, the lowering of quotations may continue within the wave b, B, C, C, (A) with targets near the marks of 1.3788 and 1.3443, which corresponds to 23.6% and 38.2% of Fibonacci. The upward corridor preserves the prospects of constructing an ascending set of waves, the breakthrough of its lower line generates the conclusion that the tool is ready for a longer-term decline.
