GBP/USD. Impulsive decline of the pair in wave 3. | 17 January 2024
17 January 2024, GBP/USD
The price has reached the previously outlined target in the form of a local minimum. At this level, there may be a reaction from buyers, leading to a sharp rebound. Alternatively, the price might not notice this level at all. However, it is recommended to hedge previously opened sell positions in some way: move the protective stop loss as close to the market value as possible or close a portion of the open position.
The current decline in price is presumably driven by the development of wave 3 of the descending impulse. This impulse is likely part of a zigzag, and the zigzag is part of a compound correction in the form of a double zigzag. Thus, overall, a significant decline in the exchange rate of the British currency against the dollar is expected.
Investment idea: Sell at 1.2600, stop loss at 1.2625, take profit at 1.2500.
The author's opinion reflects their personal view and is not an investment recommendation. The company is not responsible for any trading results based on the provided analytical data.
