On Wednesday, the following strong calendar news comes out:
- 12.30 London time, USD, producer price index (PPI) (m / m) (Apr), the expected value is 0.2% compared to the previous value of 0.3%;
- 14.30 London time, USD, stocks of crude oil, the expected value is -1.167M compared to the previous value of 6.218M.
Trend analysis (Figure 1).
On Tuesday, the price moved in the side channel. On Wednesday, there is a high probability for the market to continue its downtrend. A complex analysis will more accurately determine where the price will go next.
Fig. 2 (daily chart).
Complex analysis:
- indicator analysis - down;
- Fibonacci levels - down;
- volumes - down;
- candle analysis - neutral;
- trend analysis - down;
- Bollinger lines - down;
- Weekly schedule - down.
General conclusion:
On Wednesday, the GBP / USD pair will move down towards the first target of 1.3462 with 38.2% retracement level.
The material has been provided by InstaForex Company - www.instaforex.com