The GBP/USD remains corrective and choppy. Price will probably build a bullish swing as long as price manages to remain above the 138.2% Fibonacci level of wave X vs W. Today’s interest rate decision and monetary policy summary will be a substantial factor in the price movement of the GBP.
The GBP/USD break above the 1.27 resistance (red line) could indicate a push towards the Fibonacci levels of wave Y vs W. A break of the support trend line (blue) is possible but the main question is whether price will bounce or break the Fibs of wave X vs W around 1.2425-1.25.
The GBP/USD seems to be building an ABC (green) correction within a wave X (blue) of a larger WXY (blue) correction.
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