Indicator analysis: Daily review of GBP/USD on July 4, 2023

Trend analysis (Fig. 1).

The GBP/USD currency pair may move upward from the level of 1.2688 (closing of yesterday’s daily candle) to test 1.2718, the 50.0% pullback level (red dotted line). Upon testing this level, a downward movement is possible to 1.2680, the 21-day EMA (thin yellow line).

Fig. 1 (daily chart).

Comprehensive analysis:

• Indicator analysis – up;
• Volumes – up;
• Candlestick analysis – up;
• Trend analysis – up;
• Bollinger bands – up;
• Weekly chart – up.

General conclusion:

Today, the price may move upward from the level of 1.2688 (closing of yesterday’s daily candle) to test 1.2718, the 50.0% pullback level (red dotted line). Upon testing this level, a downward movement is possible to 1.2680, the 21-day EMA (thin yellow line).

Alternatively, the price may move upward from the level of 1.2688 (closing of yesterday’s daily candle) to test 1.2739, the historical resistance level (blue dotted line). When testing this level, the price may retrace downwards to 1.2719, the 50.0% pullback level (blue dotted line).

The material has been provided by InstaForex Company – www.instaforex.com