The pound, like the euro, is struggling to take advantage of the dollar’s weakness. The British currency rate is growing, but everything is done very uncertainly, each update of the local maximum ends with a deep pullback. Perhaps this is due to the development of the initial diagonal triangle as wave 1, an incipient upward impulse. Then, in the near future we will expect a correctional rollback, the formation of wave 2, after which the price will go into a long impulsive growth in wave 3 of [iii].

The potential for movement is very substantial, so it is worth looking closer at the opportunity to “ride” this growth.

Investment idea: buy 1.3850, stop loss 1.3810, take profit 1.4000.