Technical analytics

GBPUSD market technical outlook

GBPUSD

Daily chart:

Current situation looks ambiguous. From one hand market kept retained bullish close by the end of yesterday’s session. But from the other hand there is a false break of bullish inside bar and psychological level 1.30.

Given the big scale of upswing scenario of correction start appears more likely (watch the red arrow).

But we need to understand, that there are no direct buy or sell signals now.

H1-chart:

Local upward structure has visible signs of faltering - last high stands much lower and right now bears are getting ready to break support 1.2955. Such break will drive to development of strong corrective downswing to the support level 1.2886 (watch the red arrow).

Upward scenario might be considered in case of the pair’s growth above the last high (1.2985, black trajectory).

 

Conclusions:

Main scenario: Decline in direction 1.2886 and then upward bounce.

Alternative scenario: Growth above 1.2985 in direction 1.3050.

Trading recommendations:

  1. Shorts with count on break of 1.2955 towards 1.2886.

  2. Longs from 1.2886 to 1.2955.

  3. Longs reckoning on break of 1.2985 to 1.3050.

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