Wave counting analysis:
On April 26, the GBP / USD pair gained about 15 basic points, which is too little to clarify the current wave pattern. The pair left the tapering triangle, indicating the intention to continue falling. It should be noted that wave counting is not completely unambiguous. Wave 3 can take a very long look, but much will depend on the news background, which should continue to be monitored, even though there is almost now news regarding Brexit. However, for the pound sterling, this topic is still the main one until the whole procedure reaches its logical conclusion. Today will be the speech of the head of the Bank of England Mark Carney. The Chairman of the Central Bank can speak on the topics of monetary policy and Brexit, which can cause a market reaction.
Purchase goals:
1.3118 - 61.8% Fibonacci
1.3168 - 50.0% Fibonacci
Sales targets:
1.2839 - 127.2% Fibonacci
1.2693 - 161.8% Fibonacci
General conclusions and trading recommendations:
The wave pattern still involves building a downward trend, especially after breaking through the bottom line of the triangle. Now, I recommend selling a pair with targets located near the estimated marks of 1.2839 and 1.2693, which corresponds to 127.2% and 161.8% in Fibonacci.
The material has been provided by InstaForex Company - www.instaforex.com