Forecast for GBP/USD on July 5, 2019

GBP/USD

On Thursday, the pound traded in a narrow range due to the US holiday and the expectation of today's US employment data. The forecast for new jobs outside the agricultural sector is 162 thousand. In the current situation of investors trying to predict the Fed's future monetary policy, it's not quite clear how good this figure is. Is there enough of its potential to convince the markets of just one rate cut in the coming months? And even if this figure comes out much better or worse than the forecast, it alone will not be enough without subsequent comments by representatives of the FOMC Fed.

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Technically, the pound's situation is neutral. On the daily chart, the Marlin oscillator signal line turns up, close to the zero and absolutely a neutral line. On H4, the line of the same indicator is exactly on the border that separates the growth zone from the decline zone.

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It is possible for the pound to fall after the price leaves the level of 1.2530, which has been our target level for several days already (a low of December 14, 2018). In this case, perhaps a longer decline towards the support of the price channel on the higher chart 1.2305.

Growth seems more difficult, before the price of four target levels, from each of them a reversal is possible. The first level is the starting one, this is a mastered target of 1.2610, leaving higher opens 1.2643 — the MACD line on H4, 1.2687 above it — the resistance of the price channel to daily, 1.2747 above it — the MACD line also on the daily. The last goal coincides with the high of May 27, 2019.

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