Technical analytics

GBPUSD market technical outlook

GBPUSD

Daily chart:

After forming of “Double high” pattern (marked with black arrows) Friday was closed by inside bar. This could be a full-value short-signal towards 1.2788 but we have two obstacles. First one is that inside bar is bullish. Second one - on weekly chart we can also find a strong bullish inside bar.

Even correction towards 1.2788 wouldn’t cancel probable upward move executing weekly inside bar, which is a long-signal of course.

In a nutshell - buying pound with count on continuation of growth we have to be ready for prior decline in direction 1.2788.   

H1-chart:

Local structure develops chaotically so far, therefore break of support zone 1.2923-1.2925 is unlikely as downswing is too big and it may lack energy for a break. Thus we can expect rebound to the upside in direction of PPZ 1.2953-1.2955 with following switch to flat between theses levels.

Conclusions:

Touch of 1.2923-1.2925, then growth to 1.2953-1.2955 and after that flat will be continued in the 1.2923-1.2955 range.

Trading recommendations:

Trades to both sides in the 1.2923-1.2955 range.

 

New articles