Forecast for GBP/USD on July 20, 2020

GBP/USD

The pound sterling found out its relationship with the Fibonacci level of 123.6% on the daily chart last Friday and today. The price is supported by the balance indicator line, respectively, this struggle occurs in the territory of a positive market trend. But since the Marlin oscillator is a leading indicator, it has already penetrated into the descending trend area. In this case, it is possible for the price to reach the first target level of 1.2424 at the Fibonacci level of 138.2% without breaking under the balance line, that is, the balance line will decline slightly faster than the price. If this happens, the price may turn up from this level. If the price reaches the goal with a break through the balance line, for which the price must do so in a downward momentum, then the downward movement will continue to the Fibonacci level of 161.8% at the price of 1.2235. The intermediate target will be the MACD line on the level of 1.2345.

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The signal line of the Marlin oscillator turned twice from the border of the growth territory on the four-hour chart. The price is below the balance line and the MACD line, below the Fibonacci level of 123.6%. we are waiting for the situation to develop under the main scenario - a decrease to 1.2424. The main scenario is canceled when the price goes above 1.2585.

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