Forecast for GBP/USD on July 23, 2020

GBP/USD

The British pound briefly "magnetized" to the Fibonacci level of 100.0% (the February 28 low), it is very possible for the target to move with accelerated pace to the lower goals of 1.2646, 1.2540. Yesterday, the Fibonacci level of 110.0% (1.2646) reached the lower shadow on the daily chart. The Marlin oscillator begins to turn down, which increases the chances of a price reversal, but this is still only a prerequisite.

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The current situation is still rising, and the 1.2812 target is still relevant. And mathematically, the probability of continuing growth is 60%. On the other hand, a confirmation of the price's intent to reach 1.2812 is overcoming the July 21 high at 1.2767, which is very close to the target level.

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The first reversal sign is when the price falls under the MACD line on the four-hour chart, around the 1.2680 mark.

In the end, we expect that the mathematical probability of a decline will become predominant in the coming days, and there will be signals to sell.

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