4h
Quotes of the currency pair GBP / USD executed a turn in favor of the US dollar and began the process of returning to the level of Fibo 23.6% - 1.3067, after the Fed decided to raise the rate to 2.25%. The pair's retracement from the correction level of 23.6% will allow traders to count on a reversal in favor of the British currency and the resumption of growth towards the corrective level of 38.2% to 1.3316. Fixing quotations under the Fibo level of 23.6% will work in favor of continuing to fall in the direction of the next correction level of 0.0% - 1.2662.
The Fibo grid was built according to extremums of April 17, 2018, and August 15, 2018.
1h
On the hourly chart of the pair, after the formation of the bearish divergence in the MACD indicator, the pair executed a reversal in favor of the US currency and began to drop in the direction of the correction level of 38.2% - 1.3101. New emerging divergences are not observed. The release of the pair on September 27 will make it possible to expect a turn in favor of the British currency and some growth towards the Fibo level of 23.6% - 1.3176. Fixing quotations under the Fibo level of 38.2% will increase the chances for a further fall in the direction of the next correction level of 50.0% - 1.3042.
The Fib net is built on extremums from September 5, 2018, and September 20, 2018.
Recommendations for traders:
Purchases of the GBP / USD currency pair can be carried out with a target of 1.3176 and a stop loss order under the correction level of 38.2% if the Fibo level breaks 1.3101 (hourly chart).
The GBP / USD currency pair can now be traded with a target of 1.3101 and a Stop Loss order above 23.6%, as the pair completed the close under the Fibo level of 1.3176 (hourly chart) with the formation of a bearish divergence.
The material has been provided by InstaForex Company - www.instaforex.com