GBP/USD:  Wave analysis and forecast for 07/12/2018 – 14/12/2018

The pair GBP/USD is still likely to rise. Estimated pivot point is at a level of 1.2656.

Main scenario: long positions will be relevant above the level of 1.2656 with a target of 1.3175 – 1.3305.

Alternative scenario: breakout and consolidation below the level of 1.2656 will allow the pair to continue falling down to the levels of 1.2600 – 1.2500.

Analysis: Supposedly, a downward correction finished developing within the daily frame in the form of the second wave (2). Presumably the wave С of (2) finished forming and took the form of a wedge in the H4 timeframe. On the H1 time-frame, apparently, the fifth wave of junior level v of C finished developing. If the presumption is correct, the pair will continue rising up to the levels of 1.3175 – 1.3305. The level 1.2656 is critical in this scenario.