Rally to 1.5815 completed wave W, and the pair has pulled back as expected per our 5/15/2015 post (see related ideas below). Wave X pullback is currently still in progress and expected to complete at 1.536 - 1.545. We don't like selling wave X pullback. From 1.536 - 1.545 area, the pair should see buyers for 3 waves higher at minimum to correct the decline from 1.5815, if not a new high.towards 1.586 first, then 1.602. The pair is bullish as far as 1.5087 level holds.
GBP/USD has denied another extension higher, and now would make extension lower. Still if entering at the inflection area from 1.536 - 1.545, should be risk free and no harm done
EWForecast
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Bounced right off 50 back 1.545. If anyone long at the box, put stop loss to break even and see if it can go to new high or cycle is over and go to new low after the bounce.