Wave counting analysis:
During the trading session on November 12, the GBP / USD currency pair dropped another 130 basis points. However, an unsuccessful attempt to break through the level of 23.6% according to Fibonacci warns of the pair's readiness to build an upward wave with targets above 32 figures. If this is true, then from the current position, the quotations increase will continue. A breakthrough of 23.6% will indicate the readiness of the instrument to further reduce, and also lead to the need to make adjustments to the current wave counting. As before, the news background on Brexit greatly influences the pair and its wave pattern.
The objectives for the option with purchases:
1.3124 - 76.4% of Fibonacci
1,3256 - 100.0% of Fibonacci
The objectives for the option with sales:
1.2638 - 261.8% of Fibonacci (senior grid)
General conclusions and trading recommendations:
The currency pair GBP / USD remains in the process of building an upward set of waves. Now, I am awaiting the completion of building wave b and the beginning of building wave c. Thus, I recommend buying a pair with targets that are above 32 figures. The protective order, below the level of 23.6% Fibonacci. Sales at current levels and with the current wave counting, despite the news background, are too risky.
The material has been provided by InstaForex Company -
www.instaforex.com