Wave Analysis:
Yesterday, the cable opened at 1.4138, went as high as 1.42173 and as low as 1.40745 but ended up closing at 1.4095, just a couple of pips below its opening price. The previous day’s candle is a perfect bearish pin bar and indicates a possible increase in the number of sellers in this market. Thus, today and in the next few days, we expect a possible surge to the lower side with an ultimate target at 1.39280. The anticipated bearish price rally is the unfolding of a corrective three wave cycle and should go below 1.40785 towards 1.39925. This pair should be traded alongside GBPHKD, GBPSGD and NZDUSD. These pairs have a strong positive correlation and will move in the same direction.
Trade Recommendations:
Short the cable at 1.4139 with your target at 1.39925.
Origin: FreshForex
