Main scenario: consider short positions from corrections below the level of 1.4021 with a target of 1.3660 – 1.3572.
Alternative scenario: breakout and consolidation above the level of 1.4021 will allow the pair to continue rising to the levels of 1.4253 – 1.4450.
Analysis: Presumably, the first wave of a larger degree (1) finished developing, with wave 5 of (1) formed inside, in the daily timeframe. A descending correction started developing as wave (2) in the H4 time frame, with waves A of (2) and B of (2) formed inside. Apparently, the descending wave С of (2) continues developing in the H1 time frame, where the corrective wave of a smaller degree iv of C completed, and wave v of C started developing. If this assumption is correct, the pair will continue to fall to 1.3660 – 1.3572. The level of 1.4021 is critical in this scenario as the breakout will enable the pair to continue rising to the levels of 1.4253 – 1.4450.
Price chart of GBPUSD in real time mode
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