The GBP/USD broke below the 38.2% Fibonacci retracement level, which makes an ABC (green) to complete wave W (blue) now more likely. Price could be retracing lower as part of a wave X (blue) which could respect the Fibonacci retracement levels.
The current wave count is expecting a wave 4 (purple) which should not enter in the price territory of wave 1. The invalidation level is the bottom indicated by the light purple line. A bullish bouncing spot could be the 50% retracement and 100% Fib target.
Please note that the update is posted with permission from Admiral Markets
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