the GBP/USD is in a bullish vibe after breaking the resistance trend line (dotted red) earlier this week. Can the bulls push the price higher during today’s Non Farm Payroll (NFP) event in the US?
The GBP/USD is moving higher within a bullish wave C (orange) pattern. Although the NFP can through price into both directions, the current wave analysis favors a bullish continuation towards the Fibonacci targets of wave C vs A. The main target for the moment is 1.2435-40 around the 161.8% Fibonacci target.
The GBP/USD bullish price action on the daily and 4 hour chart created a strong bullish breakout yesterday above the resistance zone (dotted red). The strong momentum could be a wave 3 (dark red) as long as price stays above the top of wave 1 (dark red). A bullish breakout above the resistance trend line (red) could indicate a continuation of wave 5 (dark) within wave C (orange) towards the Fibonacci targets. A bearish bounce at 220.127.116.11 could occur with the completion of potential wave C (orange).
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