Forecast for GBP/USD on January 16, 2020


On Wednesday, the pound grew (by 18 points) under the influence of the general weakening of the dollar. As seen on the daily chart, the price is held for the third day by the resistance of the balance line, which indicates that the market's mood is still declining. The Marlin oscillator is also in the negative trend zone. Today, on the US retail sales data, we are waiting for the correction to be completed and the price to return to the Fibonacci level of 161.8% at 1.2968. The forecast for the core retail sales index is 0.5%, and total sales are expected to grow by 0.3%.


As seen on the four-hour chart, the price stayed at the corrective level of 23.6% from the decline range on December 13-23. The level also coincides with the minimum of December 12. Fixing the price below the MACD line (1.3032) will indicate the completion of the correction.


The material has been provided by InstaForex Company -