Forecast for GBP/USD on September 16, 2019


The British pound soared by170 points on Friday due to the main news about the EU's readiness to provide Britain with another postponement of Brexit. On the daily chart, the nearest target is 1.2543, as the intersection point of the Fibonacci level of 161.8% and the price channel line will be visually reached soon. We are waiting for a reversal or correction from this magnetic point in the main scenario. But if the optimistic Brexit plan is developed, then growth can continue after consolidation above the level. The next target in this scenario will be the Fibonacci level of 138.2% at the price of 1.2668.


On a four-hour chart, the current price is above the lines of balance and MACD, the Marlin oscillator shows the first signs of divergence, but even if it forms, the price can complete the upper target of 1.2543. For the price to turn down or a deep correction (in the range 1.2160-1.2230), the price needs to gain a foothold below the signal level of 1.2381 (July 17 low).


The material has been provided by InstaForex Company -