Wave Analysis:
During yesterday’s trading session the GBP/USD pair was consolidating near the level of figure 61. Meanwhile, despite the low volatility, it looks like the pair managed to finish the inner wave structure of the wave 3 in assumed 5. If it is so, before the target level is worked out, which is corresponding to the level 1.6150, the price will start the corrective downward move towards the lowest level of an uptrend.
Targets for Down Wave:
1.6094 – 200.0% of Fibonacci
1.6061 – 161.8% of Fibonacci
Targets for Up Wave (probably 5):
1.6147 and higher – 261.8% of Fibonacci
Summary and Trading Recommendations:
Uncertainty of the British pound and complexity of the wave structure force us to hold cautiously positions taken earlier. The target of an assumed upward move is the level of 1.6147 and higher which is corresponding to 261.8% of Fibonacci in terms of up wave 5 of the uptrend. After this wave is finished drop of the quotes with targets 1.6094 and 1.6061 which is corresponding to 200.0% and 161.8% of Fibonacci may start. On the whole the entire wave structure may need some corrections at any moment. Upward channel keeps the possibility to resume the upswing.