07.01.202012:01 Forex Analysis & Reviews: GBP/USD. January 7. Rebound from the Fibonacci level of 50.0%. Signal to sell the pound

GBP/USD - 4H.

On January 7, the GBP/USD pair performed an increase to the correction level of 50.0% (1.3209) and at the same time to the upper line of the downward trend corridor. Thus, the rebound from this level and the line will allow traders to count on a reversal in favor of the US dollar and the resumption of the fall within the main trend in the direction of the Fibo level of 0.0% (1.2904). There is also an extremely weak and small correction line that supports the current pullback. Closing the pair's rate below this line will be another signal for selling the pound with the same goals. Closing quotes above the upper line of the downward corridor will cancel all sell signals. However, with this point, you need to be careful not to get a "false break". Today, the divergence is not observed in any indicator.

Forecast for GBP/USD and trading recommendations:

The new trading idea is to sell the pound with a target of 1.2900 if a signal is received to resume the fall of the pair's quotes. Thus, I recommend that in the event of a rebound from the correction level of 1.3209, sell the pair at least for the correction line. I also recommend that you wait until the rate closes below the correction line and sell the pair again. Take Profit in the first case will be about 280 points, in the second - about 150.