Elliott waves analysis – GBP/USD. Awaiting confirmation of the start of an impulsive decline.

The considered pair is also trading within a channel, and during the last trading session, the price reached its upper boundary. However, here, the development of not an initial diagonal triangle is anticipated but rather a terminal one. This is due to the likely completion of the upward correction, taking the form of a double zigzag.

In this case, the presumed initial diagonal triangle is the first wave in a possible extended downward impulse. However, confirmation is needed in the form of a breakthrough and the price consolidating below the designated level. Only after this can one consider opening sell trades. Until that happens, it is recommended to stay out of any trading positions and observe developments from the sidelines.