For Traders

Analytical Reviews

Technical analysis

21.09.202005:08 Forex Analysis & Reviews: Forecast for GBP/USD on September 21, 2020

This information is provided to retail and professional clients as part of marketing communication. It does not contain and should not be construed as containing investment advice or investment recommendation or an offer or solicitation to engage in any transaction or strategy in financial instruments. Past performance is not a guarantee or prediction of future performance. Instant Trading EU Ltd. makes no representation and assumes no liability as to the accuracy or completeness of the information provided, or any loss arising from any investment based on analysis, forecast or other information provided by an employee of the Company or otherwise. Full disclaimer is available here.

GBP/USD

The British pound lost around 60 points on Friday in excitement, due to a new negotiating week regarding the Brexit issue. So far, there have been no positive developments in this process, and from a technical point of view, the situation is becoming more bearish. The Marlin oscillator turns to the downside on the daily chart. The price failed to break through the area above the Fibonacci level of 61.8%, but now it is heading towards the nearest level of 100.0%, which is the first target of the bears and also the February 28 low (1.2725). Once the first target is overcome, the second target opens at the Fibonacci level of 110.0% at the price of 1.2645.

The price has not yet settled in the area above or below the MACD line on the four-hour chart. The signal line of the Marlin oscillator is directed to the downside, but also "contends" with the neutral line of the oscillator. If the price settles below Friday's closing level of 1.2912, the downward scenario will begin to unwind. This is our main plan.

The alternative involves resolving and reaching the Fibonacci level of 61.8% at the price of 1.3026 and possible succeeding growth to the Fibonacci level of 50.0% at the price of 1.3120.

Back to the list

Open trading account

InstaForex analytical reviews will make you fully aware of market trends! Being an InstaForex client, you are provided with a large number of free services for efficient trading.