Wave Analysis
Just as in euro and other positively correlated pairs, the cable continues to decline but is still several pips above our buyers level 1.3662. As long as we’re above the just mentioned buyers level, we’re only interested in long positions, our overall opinion is that the price should drop sharply but should not go beyond 1.3662. This is level was used as a clear resistance before and now that the price is above, it should be used a good support. Thus, we’re be waiting for buyers to come in upon a rebound from it. This pair should be traded alongside GBPHKD, GBPNZD, GBPAUD and AUDUSD. These pairs have a strong positive correlation of up to +52% and will move in the same direction today.
Trade Recommendations:
Remain short with an ultimate target at 1.3662
Origin: FreshForex
