Wave analysis:
The other attempt of the GBP/USD pair to consolidate under the level of figure 60 has failed and the price reversed more than 60 points from the day’s low. Meanwhile, wave structure put into question the possibility of the currency pair to resume the growth of the quotes in favour of the British pound. If this assumption is correct, then the downward movement will have further development towards the level of figure 58. At the same time the location of MACD points out the preserving potential for the resume of the uptrend, which starts from the lows of the early July.
Targets for down wave:
1.5881 – 38.2% of Fibonacci
1.5795 – 50.0% of Fibonacci
Targets for up wave:
1.6142 – 200.0% of Fibonacci
1.6300
Summary and trading recommendations:
It seems like the British pound has completed formation of uptrend, which looks like a fully complete. If the uptrend gets more complex, then the rise of the quotes will continue with targets placed near the level of 1.6142, which is corresponding to 200.0% of Fibonacci; if the attempt to break the level succeeds, towards the figure 63. Unsuccessful attempt to break the level of 1.6142 (No.1) suggests that the pair is ready build down wave or a series of waves located near the calculated targets 1.5881 and 1.5795, which is corresponding to 38.2% and 50.0% of Fibonacci.