4h
The currency pair GBP / USD on the 4-hour chart performed a reversal in favor of the American currency and a fall to the correctional level of 50.0% - 1.2869. Rebounding the pair from the Fibo level of 50.0% will make it possible to count on a reversal in favor of the British currency and some growth in the direction of the correction level of 61.8% - 1.2970. Closing quotes below the Fibo level of 50.0% will increase the pair's chances of continuing falling towards the next correction level of 38.2% - 1.2765.
The Fibo grid is built on extremes from September 20, 2018, and January 3, 2019.
1h
On the hourly chart, the currency pair also began falling quotations, in the direction of the correction level of 100.0% - 1.2815. However, the correction level of 50.0% on the 4-hour chart is more important and the release from it will work in favor of the beginning of the pair's growth. Rebounding quotes from the Fibo level of 100.0% will similarly work in favor of some growth in the direction of the correctional level of 127.2% - 1.2916. There is no maturing divergence in any indicator.
The Fibo grid is built on extremes from December 31, 2018, and January 3, 2019.
Recommendations to traders:
Purchases of the GBP / USD currency pair can be made with the target of 1.2970 and a Stop Loss order under the level of 50.0% if the pair bounces off of the level of 1.2869 (4-hour chart).
Sales of the GBP / USD currency pair can be made with the target of 1.2765 and a Stop Loss order above the 50.0% level if the pair closes below the level of 1.2869 (hourly chart).
The material has been provided by InstaForex Company - www.instaforex.com