FX.co ★ Wave analysis of the GBP / USD currency pair for May 2, 2018

Analysis of wave counting:

Despite the very strong MACD divergence, in the course of yesterday's trading, the GBP / USD pair continued to develop a downward movement, having lost over 180 percentage points in price and broke the level of the 36th figure in the afternoon. It seems that the currency pair still complicated the internal wave structure of the wave c, a, c, b, B, C, C, (A). If this is the case, before the beginning of the future wave b, c, b, B, C, C, (A), the currency pair will continue to decline quotations to 1.3540-1.33530, corresponding to equation between the dimensions of the waves a, c, a, c, b, B, C, C, (A).

The objectives for building a downward wave:

1.3538 - 100.0% of Fibonacci

The objectives for building an upward wave:

1.3900 - 1.400

General conclusions and trading recommendations:

The wave counting assumes the construction of a descending set of waves. The decrease in quotations may continue within the limits of wave c, a, b, c, b, b, c, c, (A) with targets near the calculated mark of 1.3538, which equals to 100.0% of Fibonacci. Within the framework of the construction of wave b, c, b, B, C, C, (A), the quotations may start to depart from the reached lows with targets located about 39 and 40 figures.