GBPUSD Elliot Waves Analysis For 29 July 2016 | 29 Juli 2016

Wave Analysis

GBP/USD is currently trading with a bullish bias. Yesterday, the pair retraced to the lower side but could not close below 1.3111. As long as the level 1.3111 protects the lower side, we expect a possible rebound from this level to go long but only up to 1.3491. A clear breakout below 1.3111 may invalidate the anticipated rebound and could culminate into a possible bearish price movements towards 1.2905 or even below. This pair should be traded alongside GBP/JPY, GBP/CHF, AUD/USD, GBP/CAD, and GBP/NZD.These pairs have a strong positive correlation of up to +0.85 and will have a similar price action during this intraday.

Trade Recommendations:

As long as the pair trades above 1.13111 expect a possible bullish price rally towards 1.3491. A breakout below 1.3111 will call for short positions with an ideal target at 1.29053.