[B]Commentary[/B]: The GBPUSD is also unfolding as expected. “We have treated the rally from the 7/29 low at 2.0181 as wave B in a large A-B-C correction from 2.0654 (same pattern as the EURUSD).” We wrote yesterday about the triangle that had formed from the 8/1 high and mentioned that we were expecting a terminal thrust towards the 2.0400/73 level.
2.0400 is the 100% extension of 2.0181-2.0378/1.0203 and 2.0473 is the 61.8% of 2.0654-2.0181. Price has satisfied minimum expectations for the thrust from that triangle but yet another triangle has formed overnight. Look for a terminal thrust from this triangle (red lines) into 2.0400/73 before a reversal. [B]Strategy[/B]: Moce to flat (from bullish), look to short between 2.0400/73 against 2.0654, targeting a drop under 2.0181