GBP/USD wave analysis and forecast for 05.01 – 12.01

Estimated pivot point is at a level of 1.3494.  

Main scenario: long positions will be relevant from corrections above the level of 1.3494 with a target of 1.3657 – 1.3700.

Alternative scenario:  breakout and consolidation below level 1.3494 will allow the pair to continue drop to the level of 1.3296.

Analysis: supposedly, the fifth wave 5 of (1) of senior level continues developing within 4-hour timeframe. Apparently, the wave v of 5 of junior level is forming locally, the pair is likely to continue rise to the levels of 1.3657 – 1.3700 inside. If the presumption is correct, the pair the pair will continue to drop to the levels of 1.3657 – 1.3700 inside The level 1.3494.  is critical in this scenario.