Forex: GBP/USD Up And Down. Finally Something Changes!?

The British Pound Is Showing Signs Of Exhaustion Of The Bullish Force

Relevance up to 09:00 2022-08-27 UTC+2

Company does not offer investment advice and the analysis performed does not guarantee results. The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade.

Trend analysis (Fig. 1).

The pound-dollar pair may move downward from the level of 1.1829 (close of yesterday's daily candle) to the target of 1.1759, the support level (thick white line). After testing this level, an upward movement is possible with the target of 1.1842, the 14.6% retracement level (red dotted line). Upon reaching this level, the price may continue to move upward with the target of 1.1893, the 23.6% retracement level (red dotted line).


Fig. 1 (daily chart).

Comprehensive analysis:

Indicator analysis – down;

Fibonacci levels – down;

Volumes – down;

Candlestick analysis – down;

Trend analysis – up;

Bollinger bands – up;

Weekly chart – up.

General conclusion:

Today, the price may move downward from the level of 1.1829 (close of yesterday's daily candle) to the target of 1.1759, the support level (thick white line). After testing this level, an upward movement is possible with the target of 1.1842, the 14.6% retracement level (red dotted line). Upon reaching this level, the price may continue to move upward with the target of 1.1893, the 23.6% retracement level (red dotted line).

Alternative scenario: from the level of 1.1829 (close of yesterday's daily candle), the price may move down to the lower fractal 1.1716 (daily candle from 08/23/2022), where an upward move is possible with the target of 1.1842, the 14.6% retracement level (red dotted line). After testing this level, the price may continue to move up.

 

Source: Forex Analysis & Reviews: Indicator analysis: Daily review of GBP/USD on August 26, 2022

The British Pound Is Showing Signs Of Exhaustion Of The Bullish Force

InstaForex Analysis

Instant Trading EU Ltd. is the CFD broker operating under the brand instaforex.eu, regulated by CySec with license number 266/15.

Besides CySEC, Instant Trading EU Ltd. is also supervised by the Czech National Bank (CNB), the Slovak National Bank (SNB), and the Polish Financial Supervision Authority (KNF). InstaForex.eu has branches in the Czech Republic, Slovakia, and Poland, where it provides support in local languages. InstaForex.eu is a member of the Investor Compensation Fund (I.C.F) which is an additional security for the client's funds.

InstaForex.eu offers access to around 2,500 instruments (CFDs in Stocks, ETFs, Indices, Commodities, Forex, Cryptocurrencies, US Synthetic Stocks) and the MT4 and MT5 platforms,trading accounts in EUR, USD, PLN, CZK, GBP.

More information at: www.instaforex.eu

 

Risk Warning: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69.82%. of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.