Technical analytics

GBPUSD market technical outlook

GBPUSD

Daily chart:

The situation is quite arguable: upswing is completed and today a bearish inside bar might be formed at its tip (black round mark). In this case we would have a sell signal, though support at 1.2954-1.2960 looks very complicated for bears.

There is an equal probability of the quotes’ growth extension in direction of the last high 1.3069.

Thus traders would need additional local signals. Or patience.

H1-chart:

Local structure remains upward so far. Moreover, we might get a bullish inside bar at the tip of corrective downswing and it’s a signal of growth extension.

Thus the main expectation is a renewal of the high, which makes possible forming of daily bearish inside bar!

Conclusions:

Main scenario: Growth to 1.3030-1.3050 and then downward reversal to 1.3017 and 1.3000.

Alternative scenario: Flat inside yesterday’s range 1.2954-1.3017.

Trading recommendations:

  1. Longs to 1.3030-1.3050.

  2. Shorts from 1.3030-1.3050 to 1.3000-1.3017.