The structure of the GBPUSD currency suggests the formation of a global corrective trend – a triple zigzag w-x-y-x-z. On the 1H timeframe, we see the final actionary wave z of the cycle degree.
The wave z most likely takes the form of a primary triple zigzag Ⓦ-Ⓧ-Ⓨ-Ⓧ-Ⓩ. Perhaps at the beginning of August of this year, the bullish price movement ended within the small primary intervening wave Ⓧ, it took the form of an intermediate zigzag (A)-(B)-(C).
After that, we saw the continuation of the bearish trend in the primary wave Ⓩ, which may complete its intermediate triple zigzag pattern (W)-(X)-(Y)-(X)-(Z) near the 1.030 mark.
At that level, wave Ⓩ will be at the 100% Fibonacci extension of previous actionary wave Ⓨ.
It is possible that the cycle wave z could be fully completed, it has the form of a primary triple zigzag, as suggested above.
Thus, in the last section of the chart, we see that the bulls have started to move the price in a new trend.
Perhaps in the next coming trading weeks, market participants will observe the construction of the first impulse wave Ⓐ of a potential zigzag Ⓐ-Ⓑ-Ⓒ of the primary degree.
The end of the impulse Ⓐ is expected near 1.1957. At that level, intermediate sub-waves (3) and (5) will be equal.
