The price action at GBPUSD is a lot similar to the one at EURUSD. At one hour chart 5-wave uptrend pattern is shown. According to Elliott, it’s more likely that it is a new impulse rather than a correction to previous downside move.
On 15min chart zoomed latest bearish price action is shown. It can be divided in 3 waves, the latter is expanded. It may have finished recently, 4 hours ago.
I try to open a buy order with a tight SL @1.487, it will be actual if we were right with ther prediction about finishing the correction move. More moderate buy order can be opened with stops below 1.477. So I keep the bullish view on cable in mid term.
Recently I updated a common view on cable, now I post a scenario for intraday/scalper traders.
Since GBPUSD has made its previous low, it formed 3 waves towards the uptrend. The bullish impulse can’t be confirmed for sure until the price makes the 5th wave to form clear 5-wave pattern, that is much more likely to be a beginning for the upside move.
Buy orders can be opened now with stops right below the lower border of wave 3, 1.492. If price goes further to the upside, breaking 1.4995 level, you can choose between closing buy order and keeping it opened changing the SL level lower, below 1.487.
*While preparing these posts, price action of cable showed an upside move for approx. 40 pips, it can be a good sign of the continuation of the uptrend.