4h
On a 4-hour chart, the GBP / USD currency pair, after the formation of a bearish divergence at the MACD indicator, reversed in favor of the US currency and began the process of falling towards the correction level of 100.0% - 1.2662. The end of the pair on January 9 from the Fibo level of 100.0% will allow traders to expect a reversal in favor of the British currency and a slight increase in the direction of the correctional level of 76.4% - 1.2812.
The Fibo grid was built on extremes from August 15, 2018, and September 20, 2018.
1h
On the hourly chart, the quotes performed a close above the correction level of 76.4% - 1.2725. Thus, the pair can continue to grow today in the direction of the correctional level of 100.0% - 1.2815. Fixing quotations under the Fibo level of 76.4% will work in favor of the American dollar and resuming the fall in the direction of the correction level of 61.8% - 1.2669. There is no indicator of the emerging divergences today.
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 carried out now with a target of 1.2815 and a Stop Loss order below the level of 76.4% since the pair completed closing above the level of 1.2725 (hourly chart).
Sales of the GBP / USD currency pair can be carried out with a target of 1.2669 and a Stop Loss order above the level of 76.4% if the pair closes below the level of 1.2725 (hourly chart).
The material has been provided by InstaForex Company - www.instaforex.com