FX.co ★ Wave analysis of the GBP / USD currency pair for August 24, 2017

Analysis of wave counting:

In general, it is expected that during yesterday's trading, the pair GBP / USD continued its slow decline and was able to work out the mark of 1.2780 in the second half of the day. Thus, it can be assumed that the currency pair completed the formation of the fully completed 5th wave in a, as part of a downward correction structure that was developed from the highs of the beginning of the month. If this is the case, then, in spite of the remaining potential for further lowering of quotations to the level of the 27th figure, the currency pair can make a turn and designate the beginning of the wave b, practically from the minimum reached yesterday.

The objectives for the construction of a downward wave:

1,2789 - 76.4% by Fibonacci

1,2714 - 100,0% by Fibonacci

Goals for the construction of an upward wave:

1.3000 - 1.3100

General conclusions and trading recommendations:

The British currency continues to build a downward trend set of waves. The decline in quotes may continue with targets near the estimated levels of 1.2789 and 1.2714, which corresponds to 76.4% and 100.0% of Fibonacci, within wave 5 and in the composition of a supposedly 3-wave downward structure. The downward corridor retains the prospect of a continued decline in quotations. The breakthrough of its upper forming line will indicate the willingness of the instrument to build an upward wave.