15.07.202111:01 Forex Analysis & Reviews: GBP/USD analysis and forecast for July 15, 2021

As already noted in today's first article on the euro/dollar, yesterday cannot be included in the asset of the US dollar, which has weakened across a wide range of the market. The main reason for this was the comments of the chairman of the US Federal Reserve System (FRS) that the American economy is still far from the state that was observed before the invasion of the COVID-19 pandemic. In this regard, the Federal Reserve intends to continue to provide all possible support for the full recovery of the world's leading economy. As for the macroeconomic statistics that can affect the price dynamics of the pound/dollar currency pair, the attention of market participants will be focused on the data from the UK on the consumer price index, which have already been published by this time and turned out to be better than the forecast values. All the details can be seen in the economic calendar. At 13:30 London time, reports will be received on the US producer price index, as well as their base value.

Daily

So, at yesterday's trading, the GBP/USD pair showed growth. However, the long upper shadow of the daily candle leaves questions about the further movement of the exchange rate in the north direction. The highs of yesterday's session were shown at 1.3890. However, the closing price was only 1.3856. At the same time, strong support was received at the significant level of 1.3800, from where the strengthening of the quote began. From the technical nuances, we again have to pay attention to the red line of the Tenkan Ichimoku indicator, which continues to provide the pair with quite good support. The breakdown of the Tenkan is the primary task of the players to lower the rate. The bulls need a rise to the sellers' resistance of 1.3903, as well as to the black 89 exponential moving average, which is located directly below this strong resistance level, with their subsequent breakdown. These are the immediate tasks of the warring parties, judging by the daily schedule.

H1

At today's auction, the British pound is trading quite volatile. Despite the stronger-than-expected data on consumer prices, at the time of writing, the pound/dollar is declining to the previously broken moving averages: orange 200 EMA, blue 50 MA, and black 89 EMA. In principle, given that the pair have already secured two candles in a row above the broken moves, we are waiting for the closing price of the current bearish candle, after which we decide to enter the market. If the third candle closes above the moving averages passed up, there will be prerequisites for buying the pair. However, during the current hour, the bears are increasing the pressure on the quote. If the current candle closes under the used moves, we will already consider options for selling the pair on the rollback to them. That's all for now.