FX.co ★ GBP/USD wave analysis for January 19, 2011

During yesterday's trading the GBP/USD pair continued to advance and gained 150 pips. At the same time the upward movement was located within the estimated 3rd wave (b, с or 3rd) forming inner wave structire of its 5th wave. If so, this 3rd looks pretty complete, which implies certain decline before the pound tries again to test the 1.6055 level, reached yesterday. Moreover, MACD divergence indicates possible decline.