The current GBPUSD structure shows a bullish impulse in cycle wave c. The corrective leg consists of primary sub-waves ①-②-③-④-⑤.
It is likely that waves ① and ② are fully completed. Wave ① as an impulse and wave ② as a bearish zigzag.
If the intermediate degree pattern is indeed completed at 1.2254, we expect wave ③ to appreciate near the 1.350 region or higher.
The target would respect the tenancy of impulse waves one and three being at least equal.
In case primary wave ① turns out to be a corrective wave Ⓐ, we can expect the zigzag in wave Ⓑ to end lower.
In that case, however, the intermediate degree correction could be a double zigzag (W)-(X)-(Y).
This scenario suggests that the intermediate wave (W) is completed and the intervening wave (X) is under development.
Thus, followed by a short-term upside move, the pair could continue to move down near the 1.188 area. At that level, the primary wave Ⓑ will be at 61.8% of the primary wave Ⓐ.
