Hi Yvon,
Very interesting to read through your analysis. Especially as the Eur/Usd has broken to the downside today which usually jives with a Gbp/Usd bear run.
Here's what I have, sorry it looks a bit messy but had to add annotations into it to try and explain.
With the tag of the 1.272 extension/2009 high and it now seeming to form a higher low, it could prove to be a H & S and the turning point in this corrective wave, especially if Carney talks up the GBP tomorrow. There's a lot of air between here the next structural point up so it could be the start of quite a strong move.
If it breaks the 1.70352 level I think there could be a pretty strong down move as I am guessing there are going to be a hell of a lot of stops that get taken out under that point. Once it gets to the 1.618 extension (fitting expanded flat profile) it also hits the may high and the 1.7000 handle. This could prove another turning point back to the upside.
If that doesn't hold I think it is likely to then head down to the 1.6100 / 1.6000 level.
Either way it goes it looks like there could be some good opportunities to get in on pullbacks to the 21ema.
I could be totally wrong, but this is what I have got at the moment. I welcome any feedback as like I say I am still new to this so there is a good chance I am missing something!
Thanks
Very interesting to read through your analysis. Especially as the Eur/Usd has broken to the downside today which usually jives with a Gbp/Usd bear run.
Here's what I have, sorry it looks a bit messy but had to add annotations into it to try and explain.
With the tag of the 1.272 extension/2009 high and it now seeming to form a higher low, it could prove to be a H & S and the turning point in this corrective wave, especially if Carney talks up the GBP tomorrow. There's a lot of air between here the next structural point up so it could be the start of quite a strong move.
If it breaks the 1.70352 level I think there could be a pretty strong down move as I am guessing there are going to be a hell of a lot of stops that get taken out under that point. Once it gets to the 1.618 extension (fitting expanded flat profile) it also hits the may high and the 1.7000 handle. This could prove another turning point back to the upside.
If that doesn't hold I think it is likely to then head down to the 1.6100 / 1.6000 level.
Either way it goes it looks like there could be some good opportunities to get in on pullbacks to the 21ema.
I could be totally wrong, but this is what I have got at the moment. I welcome any feedback as like I say I am still new to this so there is a good chance I am missing something!
Thanks