GBPUSD Elliot Waves Analysis For 8 February 2016 | 08 February 2016

Wave Analysis:

GBP/USD is currently trading with a bearish bias. Following a bounce from the daily resistant 1.4611, we expect the price to continue short probably below 1.444 but with our ultimate target at 1.4234. A break above 1.4674 will call for long positions but with our target at 1.4955. This pair should be traded alongside other positively correlated pairs such as EUR/USD, AUD/USD, and GBP/HKD. These pairs have a strong positive correlation of up to +0.93 and are thus expected to have a similar price direction. Only buy or see pound if all the other positively correlated signal are giving the same signals.

Trade Recommendations:

Wait for a break below 1.4437 then sell the pair but with your target at 1.4234. Only buy upon a clear break above 1.466