Analysis of wave counting:
In the course of trading on August 7, the currency pair GBP / USD did not change its exchange rate value and the whole day it traded near the 200.0% of Fibonacci level. A successful attempt to break this mark will suggest a further decline in quotations within the proposed wave 5, 3, downward trend section. An unsuccessful attempt can lead to the withdrawal of quotations from the achieved minimum and the construction, for example, of an internal correctional wave in the composition of wave 5, 3, or even to complete the construction of the entire wave 3. The downward corridor still supports the prospects of reducing the pair.
The objectives for the option with purchases:
1.3301 - 161.8% of Fibonacci (the oldest Fibonacci grid)
The objectives for the option with sales:
1.2925 - 200.0% of Fibonacci
1.2758 - 261.8% of Fibonacci
General conclusions and trading recommendations:
The currency pair GBP / USD remains within the downtrend section of the trend. Now, it is possible to move the pair from the achieved lows within the correctional wave. However, even taking into account additions to the current wave counting, there is reason to expect the completion of the soon-to-be-constructed wave 3, a. I therefore recommend that, as yesterday, to resume selling the pair only after a successful attempt to break the level 1.2925, which corresponds to 200.0% of Fibonacci, with the objectives, located near the calculated level of 1.2758, which is equal to 261.8% of Fibonacci.
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