FX.co ★ Wave analysis of the GBP/USD currency pair. Weekly review

Analysis of wave counting:

Rebounding last Thursday from the level of 1.3455, the GBP/USD pair resumed the upward movement and, having added about 280 percentage points in price, completed the Friday session with reaching the mark of 1.3740. The resulting wave situation makes it possible to assume that after a turn from the 15 December low, the currency pair was in the stage of formation of the internal wave structure of the 5th wave, in the 5th, in a, in B, in C, in C, in (A) . If this is the case, then the MACD_aka divergence indicates that reaching the 1.3870 mark on the currency pair may result in the completion of the entire wave a, in B, in C, in C, in (A) and the beginning of the formation of the future wave b, in B , in C, in C, in (A).

Targets for an upward wave option:

1.3065 - 38.2% by Fibonacci

1.2882 - 50.0% by Fibonacci

Targets for a downward wave option:

1.3800

1.3871 - 161.8% by Fibonacci

General conclusions and trading recommendations:

The sterling pound continues to build wave B, in C, in C, in (A). This week, the increase in quotations may continue within the internal wave 5, in and with the targets located near the mark of 1.3871, which corresponds to 161.8% of Fibonacci. The MACD_A divergence warns about the trading instrument's inclination to decrease. An upward corridor preserves the prospects of constructing an ascending set of waves.