Cable’s drop to a new low last week occurred in only three waves from 1.3044, suggesting it’s likely part of wave “b” in a complex correction. Therefore, we are looking for a potential flat formation here in wave B, with resistance possibly at the 1.3044 to 1.31 area. We think there is a chance for a sell-off from there, especially if we consider that BOE can be looking for cuts and sound very dovish as latest inflation figures came out at 1.7%, down from 2.2%.
![Pinterest](https://pinterest.com/pin/create/button/?url=https://www.actionforex.com/contributors/technical-analysis/574428-cable-moving-into-resistance-ahead-of-boe/&media=https://www.actionforex.com/wp-content/uploads/2018/11/f-gbp100.jpg&description=Cable's drop to a new low last week occurred in only three waves from 1.3044, suggesting it’s likely part of wave "b" in a complex correction. Therefore, we are looking for a potential flat formation here in wave B, with resistance possibly at the 1.3044 to 1.31 area. We think there is a chance for a sell-off from there, especially if we consider that BOE can be looking for cuts and sound very dovish as latest inflation figures came out at 1.7%, down from 2.2%.){kind=link}