GBP/USD: Wave analysis and forecast for 26/10/2018 – 02/11/2018

The pair GBP/USD is still likely to fall. Estimated pivot point is at a level of 1.2917.

Main scenario: short positions will be relevant from corrections below the level of 1.2917 with a target of 1.2745 – 1.2665.

Alternative scenario: breakout and consolidation above the level of 1.2917 will allow the pair to continue the rise up to the levels of 1.3104 – 1.3271.

Analysis: Supposedly, a descending correction continues developing in the form of the second wave (2) on the daily time frame with the wave A of (2) formed within. The wave B of (2), supposedly, is developing on the H4 time frame, with the wave b of B forming inside. Apparently, a descending impetus (c) of b is developing on the H1 frame with the wave iii of (c) formed within. If the presumption is correct, the pair will continue to drop to the levels 1.2745 – 1.2665. The level 1.2917 is critical in this scenario.