GBP/USD – 4H.
The GBP/USD pair, after fixing under the corrective level of 23.6% (1.3048), continues to fall in the direction of the last and main target level – the Fibo level of 0.0% (1.2904). At the moment, the pair has made a new approach to fall to this level, which is only 70 points away. Today, the divergence is not observed in any indicator. The pair is still moving following the general trend expressed by the downward trend corridor. Thus, I expect the pair to continue falling, especially since today it became known that inflation in America has accelerated to 2.3% per annum, which is undoubtedly a positive factor for the US dollar. Thus, both the “foundation” and the “chart” speak of the same thing – a further fall in the pair’s quotes, according to my trading idea.
Forecast and trading recommendations for GBP/USD:
The current trading idea is to sell the pound with a target of 1.2904 since as many as three sales signals were received. I recommend moving Stop Loss levels outside the trend area or placing them behind the nearest corrective levels.