British Pound Correcting Lower Before Thrusting Higher

Commentary: Similar to the EURUSD, Cable continues to exhibit impulsive characteristics to the upside. A 3 wave correction is unfolding from 1.9964 and is most likely a small 4th wave (see labels above). Support should be strong near 1.9898, after which a thrust to a new high is the favored view (in a small 5th wave) to complete a larger 3rd wave.

Watch out for round number resistance at 2.0000 as well as the 161.8% extension of 1.9676-1.9898/1.9732 at 2.0091. The bullish view is favored above 1.9816 (5/31 high and wave i of 3 high). Strategy: Bullish now, against 1.9676, targeting 2.0131