Elliott waves analysis – GBP/USD. The Correction Continues.

The pound, which had been holding up quite confidently under selling pressure, eventually succumbed and sharply dropped, updating the local minimum. Now the situation appears that the correction is likely to continue, and we will probably see further price declines.

However, before this, there will be a slight increase. This is due to the formation of a converging horizontal triangle in wave b. Following this, there will be an impulsive decline that will complete the entire downward corrective structure, taking the form of a simple zigzag.