Wave analysis of GBP / USD for May 31. The 32nd figure is taken, still waiting for wave 2

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Analysis of wave counting:

During the trading on May 30, the GBP / USD currency pair added about 100 percentage points, but this is clearly not enough to suggest the completion of a strong wave 1, a, of the downward trend segment. A successful attempt to break through the mark of 261.8% (1.3300) will suggest an increase in the pair within the framework of the construction of the future wave 2, a. In this case, the increase in quotations will continue with the targets of about 35 figures, and we will look for new entry points for working out the future wave 3, a, which should be completed well below 32 figures.

The objectives for the option with purchases:

1.3528 - 127.2% of the Fibonacci of the highest order

1.3555 - 200.0% of Fibonacci

The objectives for the option with sales:

1.3045 - 200.0% of the Fibonacci of the highest order

General conclusions and trading recommendations:

The next attempt to complete the construction of wave 1, a, does not yet look convincing. In the course of the construction of wave 1, a, we have already seen about 100 points from the minimum that we have reached here. Only above the mark of 1.3300, it will be possible to form small purchases in the calculation of the correctional wave 2, a, with targets of about 35 figures. I recommend going back to sales below the May 29 minimum, but I draw your attention to the fact that wave 1, a, is close to completion, so now is the best time to cut sales, and not to increase them.

The material has been provided by InstaForex Company - www.instaforex.com