Wave counting analysis:
On January 18, the GBP / USD pair dropped 110 bps. The unsuccessful attempt to break through the level of 76.4% warns about the completion of the construction of the rising wave with and, accordingly, the entire upward trend segment. Special clarity in the issue of Brexit did not appear. It is precisely known only that there will not be a British exit from the EU under the original conditions of Theresa May. But no one knows what awaits the country in the coming months. Thus, if the pound begins to build a new downward trend, there will be quite logical developments.
Shopping goals:
1.2997 - 76.4% Fibonacci
Sales targets:
1.2716 - 38.2% Fibonacci
1.2609 - 23.6% Fibonacci
General conclusions and trading recommendations:
The pair GBP / USD made an unsuccessful attempt to break through the level of 76.4% Fibonacci, which suggests that the instrument is ready for building a downward set of waves. Wave picture is not completely straightforward. I recommend now cautious sales of the tool, since at any time new messages may appear on the topic of Brexit, which may affect the wave pattern. Without this news, the pair is ready to build a downtrend trend.
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