The pound did not manage to hold on and allowed the dollar to exert even greater pressure, resulting in a sharp break of the previous year’s minimum. Having thus collected stops, the price quickly returned to the starting point of yesterday’s trading day. It’s quite possible that this was the price’s task – to quickly update the minimum, thereby knocking out buyers. Now it’s time to start growing.
From the perspective of wave analysis, all the downtrend that started in September 2024 is an impulse. Wave [v] was formed with an extension in the inner wave 3. Thus, everything fits nicely into the impulse component of the current situation.
Now we must wait for confirmation of the price’s intention to make an upward impulse jump. For this reason, making any trading decisions at the moment is not recommended.
Investment idea: Flat.
Origin: FreshForex
