4h
The currency pair GBP / USD on the 4-hour chart completed an impressive fall yesterday, after which it fully recovered all losses and returned to its original positions, to a correction level of 50.0% - 1.2869. Rebounding the quotations of the pair on January 16 from the Fibo level of 50.0% will make it possible to expect a reversal in favor of the US dollar and a fall to the correction level of 38.2% - 1.2765. Closing the pair above the Fibo level of 50.0% will increase the likelihood of continued growth in the direction of the next correction level of 61.8% - 1.2970.
The Fibo grid is built on extremes from September 20, 2018, and January 3, 2019.
1h
On the hourly chart, the fall in quotations to the correctional level of 61.8% - 1.2672 was replaced by growth to the correction level of 100.0% - 1.2815 and closing above it. Thus, today, growth can be continued in the direction of the next Fibo level of 127.2% - 1.2916. There are no ripening divergences today. Rebounding the pair from the level of 127.2% will work in favor of the American currency and return to the correction level of 100.0%.
The Fibo grid is built on extremes from December 31, 2018, and January 3, 2019.
Recommendations to traders:
Purchases of the GBP / USD currency pair can be carried out now with a target of 1.2916 and a Stop Loss order below the level of 100.0%, as the pair completed closing above the level of 1.2815 (hourly chart).
Sales of the GBP / USD currency pair can be carried out with a target of 1.2815 and a Stop Loss order above the level of 127.2% if the pair bounces off of the level of 1.2916 (hourly chart).
The material has been provided by InstaForex Company - www.instaforex.com