GBP/USD: Wave analysis and forecast for 12/10/2018 – 19/10/2018

point is at a level of 1.3026.

Main scenario long positions will be relevant from corrections above the level of 1.3026 with a target of 1.3510 – 1.3715.

Alternative scenario: breakout and consolidation below the level of 1.3026 will allow the pair to continue declining to a level of 1.2654.

Analysis: Supposedly, the first wave of senior level (1) has been formed as an impetus on the daily time frame and a downward correction finished forming as the second wave (2). Supposedly, the first counter-trend wave of junior level i of 1 of (3) is forming on H4 time frame. Apparently, a local correction (iv) of i has finished on the H1 time frame, and the wave (v) of i is developing at the moment. If the presumption is correct, the pair will continue to rise to the levels 1.3510 – 1.3715. The level 1.3026 is critical in this scenario.