GBP/USD Bullish ABC Zigzag Pattern in Contracting Triangle
|The GBP/USD showed a bullish bounce at the 88.6% Fibonacci retracement level and also made a bullish breakout above the resistance trend line (dotted red).
4 hour chart
The GBP/USD bullish price swing could be part of a larger ABCDE (green) triangle pattern. The current bullish swing is likely a wave D (green) as long as the price stays below the top of 1.3280 or above the bottom of 1.2950 (red x). A bullish breakout (green check) above the 38.2% Fibonacci level could indicate a move higher towards the Fibonacci targets.
1 hour chart
The GBP/USD is building a 5 wave (dark red) within a potential wave C (orange). The bullish breakout above the 38.2% Fib could confirm the continuation whereas a break below the 1.30 support zone could indicate the end of the ABC (orange) pattern and a bearish breakout.
The analysis has been done with the CAMMACD.Core System.
For more daily technical and wave analysis and updates, sign-up up to our ecs.LIVE channel.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.