Sterling nailed the wave-(b) target by extending to 1.236 x wave-(a) which is an ideal move. With waves-(a) and (b) of the 3-wave correction complete, our focus now shifts to the final leg higher (wave-(c)) towards 1.65/66. S/t, the final move up is expected to unfold as a sharp 5-wave rally. Near-term resistance is 1.6162 and the 1.6288. So fart the initial wave-i rally is complete and this implies that pullbacks can be used to add long exposure for a the larger move higher. Conviction: Med/High Trade: Flat. Took Profit near wave-(b) low (1.6075) Levels: Support – 1.6036, 1.5944 Resistance – 1.6162, 1.6288, 1.6415
Read the full report: GBPUSD