GBP/USD will likely decline in April from the level of 1.2328 (closing of the March monthly candle) to 1.2134, the 14.6% pullback level (yellow dotted line). When testing this level, the price may move upward with the target of 1.2650, the historical resistance level (blue dotted line).
Fig. 1 (monthly chart).
Comprehensive analysis:
Indicator analysis – down;
Fibonacci levels – down;
Volumes – down;
Candlestick analysis – down;
Trend analysis – up;
Bollinger bands – up;
All these points to a downward movement in GBP/USD.
Conclusion: The pair will have a bearish trend, with no first upper shadow on the monthly black candle (the first week of the month is black) and a second lower shadow (the last week is white).
The quotes will likely decline from the level of 1.2328 (closing of the March monthly candle) to 1.2134, the 14.6% pullback level (yellow dotted line). When testing this level, the price may move upward with the target of 1.2650, the historical resistance level (blue dotted line).
Alternatively, the quotes will decline from the level of 1.2328 (closing of the March monthly candle) to 1.1946, the 23.6% pullback level (yellow dotted line). Upon reaching this level, the price may move upward with the target of 1.2443, the upper fractal (yellow dotted line).
The material has been provided by InstaForex Company – www.instaforex.com
Trend analysis.
GBP/USD will likely decline in April from the level of 1.2328 (closing of the March monthly candle) to 1.2134, the 14.6% pullback level (yellow dotted line). When testing this level, the price may move upward with the target of 1.2650, the historical resistance level (blue dotted line).
Fig. 1 (monthly chart).
Comprehensive analysis:
All these points to a downward movement in GBP/USD.
Conclusion: The pair will have a bearish trend, with no first upper shadow on the monthly black candle (the first week of the month is black) and a second lower shadow (the last week is white).
The quotes will likely decline from the level of 1.2328 (closing of the March monthly candle) to 1.2134, the 14.6% pullback level (yellow dotted line). When testing this level, the price may move upward with the target of 1.2650, the historical resistance level (blue dotted line).
Alternatively, the quotes will decline from the level of 1.2328 (closing of the March monthly candle) to 1.1946, the 23.6% pullback level (yellow dotted line). Upon reaching this level, the price may move upward with the target of 1.2443, the upper fractal (yellow dotted line).
The material has been provided by InstaForex Company – www.instaforex.com
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